The Nepal Stock Exchange (NEPSE) index registered marginal gains on the first trading day of the week, extending its winning streak for a third consecutive session. The benchmark index nudged higher by 4.00 points (+0.15%) to close at 2,595.81 points.

The Sensitive Index, which measures the performance of Class 'A' stocks, added 1.96 points, while the Float Index and Sensitive Float Index gained 0.41 points and 0.66 points, respectively.

Market Highlights & Trading Volume

Despite the positive momentum in the index, trading turnover saw a mild contraction compared to the previous trading session. Total turnover stood at NPR 4.46 Billion (NPR 4,465,246,360), down from Friday's turnover of NPR 4.83 Billion.

A total of 12,719,000 shares across 354 traded scripts changed hands through 49,809 transactions.

Technical Analysis & Chart Insights

                       [NEPSE Daily Chart Structure]
      2,650 - 2,680  --------------------------------- Major Resistance Zone
                           /\      /\
                          /  \    /  \   (Consolidation Phase)
      2,595.81  --------/----\--/----\---------------- Current Close
                       /      \/      \
      2,560 - 2,570  --------------------------------- Immediate Support Zone

• Support & Resistance Levels:

  • Immediate Support: The index continues to hold firm ground above the 2,560 – 2,570 support zone, where buying demand consistently re-emerges during intraday pullbacks.

  • Key Resistance: On the upside, NEPSE faces strong overhead resistance near 2,650 – 2,680. A decisive daily close above 2,680 with high volume is required to trigger the next leg of a bullish trend.

• Volume & Price Action (Divergence):

  • The index achieved a modest positive gain while daily trading turnover contracted from NPR 4.83 Arba to NPR 4.46 Arba. This low-volume price gain reflects pre-festival investor hesitation and consolidation, indicating that buyers are cautious near immediate resistance levels.

• Market Breadth & Technical Momentum:

  • Market Breadth: Despite the benchmark closing in the green, market breadth leaned negative—105 scripts advanced, while 165 scrips declined. Heavyweight sectors like Banking (+1.01%) and Trading (+1.02%) pulled the primary index upward, masking weakness in smaller-cap sectors.

  • Momentum Oscillators: Relative Strength Index (RSI) continues to hover in the neutral zone (~50–54), signaling a balanced market with neither overbought nor oversold conditions.

Sectoral Performance

Out of 13 sector sub-indices, 5 ended in positive territory, while 8 sub-indices recorded mild losses:

• Top Sector Gainers:

  • Trading Index: Led the market with the highest gain of +1.02%.

  • Banking Index: Rose +1.01%, providing heavy support to the main benchmark.

• Sectors in Red: Hotels & Tourism, Hydropower, Investment, Manufacturing & Processing, Microfinance, Mutual Funds, Non-Life Insurance, and Others posted slight contractions.

Top Movers & Turnover Leaders

Top Gainers & Circuit Hitters

• Dhaulagiri Laghubitta Bittiya Sanstha (DLBS): Hit the positive circuit limit, surging NPR 164.10 per share to close at NPR 1,259.

• Snow Rivers Limited: Logged strong buying interest, gaining nearly +14%.

Top Loser

• Ridge Line Energy Limited (RLEL): Faced the sharpest correction of the day, dropping -6.29%.

Turnover Leaders

1. Kumari Bank Limited (KBL): Topped the daily turnover chart with NPR 25.19 Crores in traded value.

2. Ghalemdi Hydro Limited (GHL): Followed with turnover of ~NPR 20 Crores.

3. Sahas Urja Limited (SAHAS): Recorded transactions exceeding NPR 19.5 Crores.

Disclaimer: This market report is prepared for informational and educational purposes only and does not constitute formal financial or investment advice.