The Wednesday session on the Warsaw trading floor again took place under the sign of uncertainty.
GPW still fears war
Today the worst performer was the previous day’s winner – the company MDI Energia (-9.77%). The best performer was ERG (+10%).
The WIG index finished the Wednesday session at 129,035.25 points, translating to an increase of 0.12%.
Chart. WIG index price
Source: TradingView
WIG20 at 17 was at 3,503.71 points, indicating a jump of 0.05%.
Chart. WIG20 index price
Source: TradingView
mWIG40 at 17 ended the session at 8,960.77 points, which translates to an increase of 0.46%.
Chart. mWIG40 index price
Source: TradingView
Meanwhile sWIG80 rose to 30,875.73 points. This means the index gained 0.04%.
Chart. sWIG80 index price
Source: TradingView
See also: Hercules shares like a mythical hero. GPW fears another war phase
Analyst points out what to watch
Adam Stańczak, analyst at DM BOŚ, observed what was happening on the Warsaw exchange. As he noted, “the first cash market trades translated into a 0.4% rise in WIG20.”
“In the index most companies are rising, with the obvious leader being KGHM up over 1.6%. The company leads demand in the WIG20 index. The largest volume is seen in XTB in the mWIG40 basket. The company – down about 2% – collects half of the 60 million zlotys traded across the market,” he added.
Meanwhile “from a technical perspective, the opening of WIG20 fits the expected supply‑demand confrontation around the psychological barrier of 3500 points and the supports in that area.”
“Looking at the WIG20 chart from a local bearish wave perspective, demand has not pushed anything beyond the attempt to curb declines. The leading line of the discount remains in force, so it’s hard to say more than counting bulls and bears around 3500 points. The next hours will show which side gains the advantage,” he summarized the first phase of the session.
Ultimately “WIG20 spent the first hour of the session oscillating around the level of 3515 points.”
“The range of fluctuations was modest, resulting in a candle with a modest body. The result is a picture of the market consolidating above the support zone around 3500 points. Volume does not indicate a strong market polarization, so for now both sides are likely waiting for the next move and new impulse. The environment stabilizes, although there is also slight supply pressure from the German DAX, which fell below 24000 points. Focusing on the technical picture of WIG20, the market forces a wait for the next move of bulls and bears,” he added.
Marek Rogalski, chief analyst at DM BOŚ, warns that “oil price moves will be part of a larger market puzzle that may signal a ‘market surprise’ in the form of risk‑off scenarios in the coming weeks.”
“In the context of a possible, more hawkish narrative from central banks – policymakers will not be passive – it will be worth watching debt markets, where we may witness clearer increases in bond yields. Today on the tape we have the decisions of the Bank of Canada – a statement at 15:45 (rates unchanged at 2.25%) and a press conference at 16:30 – and the FED, which traditionally announces at 20:00, followed half an hour later by Jerome Powell’s speech,” he pointed out what to focus on now.
Read also: Warsaw exchange with a hint of red. Atende shares (+12%) rise at record pace, JSW (+2%) surprises with data
See also: CD Projekt shares stir the gaming market? Expert: “Sector leaders can often pull smaller entities along.”
Source: Bossa
