Email of the day (2)
Comment of the Day

March 01 2011

Commentary by Eoin Treacy

Email of the day (2)

on spread-betting the Norwegian market:
"Could you recommend a good companies' literature to look at spread-betting on the Oslo index for a new hand. It seems a very strong economy to buy into any corrections.

"My family is from Christchurch so it certainly has been a week of taking stock of the important things in life."

Eoin Treacy's view Thank you for this inquiry and let us extend our sympathies to everyone affected by recent traumatic events whatever the cause.

Here is a list of the OBX Index's members ranked by weighting. I know that IG Index offer a number of these shares as spread-bets and perhaps some other providers offer a similar service.

Statoil has been consolidating below the NOK150 area, which also marks the upper side of its two-year base, since late last year. A sustained move below NOK140 would be required to question medium-term upside potential.

DNB Nor Asa, Norway's largest financial, remains in an impressively consistent medium-term uptrend and found support near its rising 200-day MA a month ago. It hit a new all time high three weeks ago and a sustained move below the MA would be required to question medium-term upside potential.

Telenor yields approximately 4% and remains in a relatively consistent medium-term uptrend. It is currently rallying from lower side of a 9-month range and a sustained move below the 200-day MA, currently near NOK88 would be required to question medium-term scope for continued higher to lateral ranging.

Yara International, which is a globally significant fertilizer company, encountered resistance near NOK 350 from mid January and has now pulled back to test the region of the January 2010 peak and the 200-day MA. A clear upward dynamic, sustained for more than a day or two will be required to confirm support in this area.

Back to top