A significant volume signifies significant interest– Afromedia Plc today traded a significant volume of 120.96million against meagre units of 100 shares traded in the previous session while topping today’s volume traded without price movement.

The volume traded today represents 3% of the total share outstanding of the company as further analysis revealed similar transaction 12days back as 100million units traded without price movement as well.

However, in the last 12days, a total of 247.42million units of shares traded and there was no significant price change despite 6% of the share outstanding exchanged within a short period.

We are of the opinion that the transactions are likely to alter the holding structure of the company as we have written the company to verify this while we plan to update the market as soon as we get the reply.

The charts below put the outlook in proper perspective.

Volume and Price Trend analysis: performance so far in the year 2011

The price traded between N0.72kobo and N0.51kobo as the stock experienced volatility in the early stage of the year. The year to date performance of the stock stood -5.56% loss while the stock has remained stagnant at N0.51kobo for a while.

More so, the stock closed flat at N0.51kobo with its 15days and 45days moving averages of N0.51kobo respectively-indicating weak posture despite significant volume surge and trading activities in recent time.

Volume Outlook

The volume analysis revealed intense activities in the year as the volume surge was observed consistently in the recent time- This buttressed the above fact as the stock closed significantly below its 15days and 45days moving averages.

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