Major Takeaways

• NEPSE index fell by 9.08 points (-0.34%) to close at 2,655.38

• Market turnover surged to Rs. 12.06 arba, up from yesterday’s Rs. 9.63 arba

• Hotel, finance, and hydropower sectors showed gains

• Ngadi Group Power led both turnover and volume charts

• Index remains in a consolidation zone with potential for breakout next week

Market Summary – Thursday, June 2025

The NEPSE index declined by 9.08 points or 0.34 percent to close at 2,655.38, compared to Wednesday’s closing of 2,664.47. Despite the decline in the index, investor activity picked up noticeably. Market turnover climbed to Rs. 12.06 arba, significantly higher than the previous day's Rs. 9.63 arba. Market capitalization now stands at Rs. 4,423.03 arba. The market opened at 2,665.23 and experienced intraday volatility, reaching as high as 2,672.42 and falling as low as 2,654.69 before settling near its daily low. A total of 28,607,685 shares were traded across 102,895 transactions involving 311 listed companies.

Sector Highlights

The day’s sectoral performance was mixed, reflecting broader market indecision. Four sectors closed in the green, while the rest saw declines. Hotel and Tourism led the gainers with a rise of 2.14 percent, followed by Finance at 0.89 percent and Hydropower at 0.22 percent. On the downside, the Trading Index posted the sharpest decline of 1.09 percent. The Development Bank Index fell by 1 percent, while the Banking Sub-Index slipped by 0.62 percent.

Top Performing Stocks

Pure energy led the gainers’ list with a 9.99 percent increase. It was followed by Chandragiri Hills Ltd., which rose 6.78 percent. Rasuwagadhi Hydropower Ltd. and Terhathum Power Company Ltd. both gained 5.99 percent, while Nepal Finance Ltd. rose 4.97 percent. Notable Decliners On the losing side, Gurans Laghubitta Bittiya Sanstha Ltd. posted the biggest drop at 9.90 percent. River Falls Power Ltd. declined by 6.97 percent. NMIC lost 5.58 percent, followed by Corporate Development Bank Ltd. at 5.01 percent and Green Development Bank Ltd. at 4.70 percent.

Turnover and Volume Leaders

Ngadi Group Power Ltd. led the turnover chart with transactions totaling Rs. 1 arba 8 crore. Sanima Mai Hydropower Ltd. followed with Rs. 75.38 crore in turnover. Other notable names in the turnover list included Radhi, UPCL, and BPCL. Ngadi Group Power Ltd. also topped the volume chart, followed by Arun Kabeli Power Ltd. (AKPL), Singati Hydro (SRLIP), Sanima Mai Hydropower (SHPC), and Upper Tamakoshi (UPCL).

Technical Analysis

NEPSE is currently trading in a sideways consolidation range, fluctuating between a support level at 2,607 and resistance at 2,725. The index is moving near its 20-day moving average of 2,657. Bollinger Bands suggest low volatility, indicating a potential breakout. The Relative Strength Index (RSI) stands at 48.84, signaling neutral market momentum.

Meanwhile, trading volume has increased on red candles, which may point to mild distribution but could also indicate early accumulation by institutional players. Until the index breaks above 2,725 or falls below 2,607 with significant volume, the sideways movement is expected to continue. In the current phase, monitoring individual stock performance is more crucial than following the index alone. Stocks showing strong breakout patterns on high volume may offer better opportunities.  Next week will be crucial. A strong breakout above the 2,725 resistance level could trigger a notable rally in NEPSE.

Editorial Insight

In times of market consolidation, investor attention often shifts toward scrip-specific movements. While the index presents a neutral stance, the rising turnover and volume hint at growing interest and potential positioning by institutional investors. Whether this sets the stage for a rally depends heavily on next week’s price action.