Qalaa fell on Wednesday, to head to EGP3.18 in the short term

Wednesday 25 July 2018 09:06 PM

Egyptian Stock Exchange
Egyptian Stock Exchange

Ragab Ezz El-Deen & Mona Abd El-Bary
El-Qalaa Financial Consulting Co. continued in Wednesday's session a falling trajectory for the third session in a row to close down at EGP3.23.
The stock's trading volumes recorded  EGP123mln exchanged through 38mln securities as of the beginning of this week.
The stock lost by 10% to EGP3.23 down from EGP3.58 during the week.
Analysts think this week's trades a period that is testing the stock amid the prevailing instability and conflicting data over its price, creating confusion which drove institutions to cut its weighting in their respective portfolios for fear of sustaining  larger losses.
" I predict Qalaa stock to move in the range of EGP3.80 and EGP3.18 in the short term, and to EGP2.90 and EGP2.88 should the above-mentioned  levels be crossed," said trading manager at Arabia Online Securities Co. Mona Mostafa.
Qalaa kept falling since July 10 when Financial Supervisory Authority decided to halt trades on the stock which was preferred by institutions and mutual funds. Owing to their purchases, the stock jumped by 187%, prompting FSA to request a study over its fair value so as to determine the reason behind the hikes.  
Egyptian Stock Exchange ended Wednesday's trades on a down note amid heavy sell-offs led by Arab and foreign investors.
EGX30 fell by 1.90% to 15186pts, EGX70 by 2% to 735pts, the broader EGX100 by 1.67% to 1897pts, EGX50 by 2.46% to 2560pts, and EGX20 BY 2.56% to 15007pts.
Trades exchanges stocks valued at EGP620mln, as Egyptian institutions, Arab and foreigners bought stocks worth 19.4mln, EGP3.8mln, and EGP413,000 respectively. Egyptians, Arab and foreign institutions sold stocks worth EGP7.3mln, EGP14.9mln, and EGP1.5mln respectively.
Out of 169 stocks, 13 rose, 119 fell and 37 remained unchanged.