In a period prolonged volatility seems to be stuck Athens Stock Exchange while more and more analysts recommend the adoption defensive strategies until the visibility of the investment increases a little.
The reaction of the markets The post-election scenario in Francewithout a doubt, it is the main question mark not only for Athens but also for the whole of Europe, as it is certain that a reasonable period of time will be needed to appreciate and evaluate the new conditions in the second largest economy of the Old Continent.
And last week may have seen unexpected gains of 2.5%, which allowed the General Index to escape the 1,400-point supports and find itself on the path to approaching the first resistances of 1,460 points, but it is more than clear that international investors are still fleeing from stocks, resulting in the turnover volumes were significantly limitedwithout anything reminiscent of the golden days of the levels prior to May 20, when the upward movement peaked (closing at 1,502 units).
“The international geopolitical environment – we are tired of repeating – is characterized by intense uncertainty and no “light at the end of the tunnel” is visible,” comments the Petros SteriotisChartered Analyst and Fellow of the British Society of Technical Analysts.
And don’t forget that as we get closer to August it’s possible that investment interest will be constantly reducedtaking into account the traditionally sluggish behavior of investors during the summer, as well as the fact that daily news is characterized by increasingly reduced interest.
After all, all the “heavy” developments seem to be delayed until the autumn, starting with the critical assessment of Moody’s -there is the pending investment phase- but also the divestment of the Financial Stability Fund in National Bankwhere it holds 18% of the shares.
The “tank” is not empty
On the other hand, we must not ignore that the Greek market, despite the recent doubling, continues to offer a satisfactory market. return of more than 11% by 2024not far from this year’s highs. At the same time, the main fuel that drove it to multi-year highs is still burning in the stock market’s tank.
The optimistic picture in the macroeconomic numbers has not changed, corporate numbers remain resilient, expectations of future dividends are flourishing, while businesses are arriving to provide the… salt and pepper needed to create new values.
“The hopeful narrative for Greece remains and the auspicious outlook is confirmed by the management of many listed companies, but it will take time to improve the low visibility that characterizes the international environment at the current stage, reducing the willingness of managers to take investment risks” comments the Dimitris Tzanas of Kyklos AHEPEY.
And all this while Greek stocks can in no way be characterized as expensive or overvalued. It is indicative that 65% of listed large-cap companies and 35% of listed mid-cap companies have a Earnings P/E multiple below the widely accepted threshold of 10x.
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The agenda of the week
Meanwhile, this week, the cuts will continue of dividends for the right to receive dividends for 2023, which are only calculated for July in more than 1.6 billion euros.
In the following days, as an indication, without the right to bonus, your shares will be traded Terna Energy, Piraeus Bank, Helleniq Energy It is Jumbowhich will undoubtedly put the aforementioned listed companies in the spotlight.
We are also waiting for him on Friday SCOPEwhich will update the country’s assessment. Remember that the German house was the first, which gave Greece the investment gradelast August.
With all this in mind, technical analysis shows that the General Index continues to maintain a satisfactory safety distance from moving average of the last 200 days, which is related to the long-term trend.
The 1,400 units, in turn, still constitute the basic supportwhile the first point of resistance on the long way to the top of 1,502 points, it stands at 1,447 points, which coincides with the 50-point index.
General Index Returns
• Week +2.5%
• Month +0.7%
• Quarter +3.5%
• Semester +9.5%
• 2024 +11.3%
• Twelve months +10.4%
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(The text above is the product of journalistic research and does not constitute an invitation to buy, sell or hold any stock)