Athens Stocks Sharply Lower
Greek market moves sharply lower on Wednesday.
“We consider that yesterday΄s abrupt descending move, following S&P΄s late in the day downgrade of Cyprus, consists a hyperbole that shook the Athens market more than it deserved. Although we do not deny that the environment remains challenging, we fail to understand the dynamics behind yesterday΄s drop, thus regarding that should the market open on slightly lower grounds, we would strongly consider increasing our position. In this context, we would be buyers if the market opened towards the 1,480 units region (1st support level), anticipating that the market will most probably rebound towards the 1,505 (pivot point) - 1,515 (1st resistance level) region later during the day. That said, we note, however, that our stop-loss level stands just below the 1,470 units, a bottom which we think that has been already tested too many times to still be able to provide us with a reaction,” Pegasus Securities said in its morning report.
“Eurozone debt concerns will continue to weigh on the markets until this is winded down, with markets appearing very sensitive to any related newsflow. Domestically, weak reading overseas and lack of any catalysts domestically results to a sideways move with a negative drift,” Kyprou Securities says.
Across the board, the General Index drops 1.45% at 1,472.51 on a total turnover of 41.35 mil. euro.
(Capital.gr)