Insights for November 2016

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Posted by MaxMarioni on 27 November 2016, 3:35 PM

Autumn Statement: Opportunities for Investors

The chancellor of the Exchequer has delivered the autumn statement to the house of commons, containing the main points of the government's economic policy for the next year until the new budget in spring. But how does the statement impact investors on the stock market and in other areas, and what are the key announcements impacting stock holders? (Read more)

Vodafone Group Plc. should be avoided for the time being or the investors shall wait for its consolidation. The company announced its half yearly results, a few days back on 15th November 2016.  The stock fell by about 1.5% on the same day which indicates that our investors were not happy with the telecom giant’s half yearly performance. We would be throwing light on the latest financial results of the company in the other part of the article.

The stock finished trading on the London Stock exchange at 203.55p on Tuesday, 22nd November, up by 0.45% compared to the previous close. In terms of technical analysis, Vodafone Plc looks pretty bearish on charts as it has made a technical pattern of ‘lower highs and higher lows’ which indicates weakness in the stock. It has had a nonstop fall from 240p to 200p in the last 3 to 4 months. Clearly, the stock has been trading on the ‘downward trend line’. Therefore, consolidation would be confirmed once it breaches the downward trend line. However, it seems that stock has taken support at 200p and if it would sustain the support zone, then the stock shall trade in the channel of 202p-216p in the near term. But, a breakdown below 200p would surely means fresh lows and would also indicate that more and more short positions have been building on the stock. Vodafone Plc needs to be under the watch for some time, and then only we can foresee a clear direction. Currently, the stock has been trading 3% above its 52 weeks low and 16% below its 52 weeks high. (Read more)

Topics: Analysis
Other Insights on Related Shares: VOD.L
Related Shares: Vodafone Share Price
Posted by MaxMarioni on 20 November 2016, 7:14 PM

Rolls-Royce runs aground

Roll-Royce holdings has run into trouble following the admission of disappointing results and reports that its previous profits were partly the result of using non-standard accounting standards. The engineering giant left almost 6% on the ground on Friday, and analysts' weekly estimates show a collapse in the stock compared to the FTSE 100 index in the same period. Furthermore, analysts expect the negative trend to continue and for Rolls-Royce Holdings to close to a new low of £676,1 compared to the high of £757,5. (Read more)

Other Insights on Related Shares: RR..L

Marks and Spenser group plc is a ‘Hold’ at the current price levels. The company announced its half yearly results on 10th November 2016.

The CEO Mr. Steve Row, commented on the results, “In May, we laid out a number of questions which we would answer as part of our strategic review.  We committed to creating a simpler business with customers at its heart, and taking action to start to recover our Clothing & Home business and continue to grow in Food. Our aim is to build a sustainable business which will delight our customers, provide a robust foundation for future growth and deliver value for our shareholders in the long term. We have made good progress on our plans and customers are already noticing a difference, particularly in Clothing & Home. In addition, we have made major steps towards fairer pay and pension arrangements, streamlined our senior management team and our plans to implement a simpler Head Office structure are well underway. We have now completed a forensic review of our estate both in the UK and in our International markets.  Over the next five years we will transform our UK estate with c.60 fewer Clothing & Home stores, whilst continuing to increase the number of our Simply Food stores. In the future, we will have more inspiring stores in places where customers want to shop that complement our growing digital offer. Internationally, we propose to cease trading in ten loss making owned markets, but intend to continue to develop our presence through our strong franchise partners. These are tough decisions, but vital to building a future M&S that is simpler, more relevant, multi-channel and focused on delivering sustainable returns.” (Read more)

Topics: Analysis
Other Insights on Related Shares: MKS.L

IGAS Energy plc:

IGAS Energy Plc has had  a spectacular rally on 2nd November as the stock was up by over 20% same day! But the rally couldn’t sustain and the stock had a resistance at 13.75p and it fell back again! The stock finished trading on the London Stock exchange at 11.75p, down by 1.5% compared to the last closing. Currently the stock has been trading below its 20 day moving average (DMA), 50 DMA and 100 DMA of 12.04p, 13.34p and 13.89p respectively. The stock has a very strong support at 10.5p and is now trading in the channel of 10.5p-12p. However, any breakdown below 10.5p would surely indicate significant downside to the stock. Fresh longs or buys should be initiated only if the stock gives a breakout above 12.0p or else its best to avoid the stock for the time being as it might head lower. Therefore we would advise traders or investors to keep a close watch on the levels of the stock and accordingly they should initiate the positions. (Read more)

Other Insights on Related Shares: IGAS.L, SKS.L

BT group Plc is a ‘Hold’ at the current price levels The Company announced its half yearly results last week, on 27th October 2016.

The CEO of the company, Mr. Gavin Patterson commented on the half yearly results,” “This is a positive set of results, both operationally and financially, and we remain on track to achieve our full year outlook. We’ve made good progress on the integration of EE and the delivery of our synergy targets. Our consumer facing lines of business have performed well, but in the enterprise space, UK public sector continues to be a challenging market. Across the group, we continue to drive cost reduction and productivity improvements. Customer experience remains a key priority, and we’re stepping up our investments in the second half of the year. And we’ll continue to invest in our ultrafast and 4G plans in 2017 and beyond. Ofcom’s consultation on the Digital Communications Review closed earlier this month; we’ve submitted our response and will continue to engage with Ofcom to reach the best outcome for the UK.” (Read more)

Topics: Analysis
Other Insights on Related Shares: BT.A.L
Related Shares: Bt Share Price