mlennyma wrote:the deal wrote:hisah wrote:FTSE NSE KE 15 index looks very weak on the weekly chart as well as the 25 index. NSE20 will struggle floating above 3000. The gravity pressure is coming from the banking corner.
Yeah looks like 3000 will break this year...I'm looking at how much damage has the rate cap done when banks starts calling in Q1 2017
banks will rally if no meaningful damage is recorded
Take a look at the reverse repos monthly stats. Cbk has been extra busy since the rate caps were instituted with December recording the highest figure. Not to mention an elevated interbank rate.
If Cbk can't plug the liquidity shortage, some bank will be taken to the cleaners pretty quick.
The main purpose of the stock market is to make fools of as many people as possible.