After five very stressful sessions last week, on Monday Profit.bg talked to four market experts about their expectations for the following five days. Here is what they told us:
Nadya Nedelcheva, portfolio manager, Advance IPO fund
I expect the mood on the stock exchange to stay negative amid low turnovers. After the frenzied selling last week some stocks lost 15% and more and I think we can expect further decreases this week.
Prices have reached very attractive levels but that doesn't necessarily guarantee buyers' interest in the current situation. Still, some positions are likely to rebound to a certain extent.
The correlation between BSE and foreign markets is getting stronger, however, as we saw recently, the positive shifts on the global markets only have a short term effect on the local bourse. Liquidity continues to be one of the main problems for BSE.
Trade in Astera Cosmetics starts this week but I do not expect it to attract a lot of interest.
Stefan Angelov, broker, Varchev Finance
I expect extremely volatile trade and a lot of pessimism this week. Last week's losses will make most investors too cautious to buy, many will be closing positions.
The low prices make me think in optimistic terms, but the mutual funds' lack of available cash and the passiveness of the pension funds will have a negative effect.
Vladimir Stanchev, investment consultant, Aktiva Asset Management
The downward trend has continued throughout March. Last week we saw active cashing on all liquid positions, which was not due to fundamental reasons, but to purely psychological factors. Turnovers stayed below average.
I don't expect indexes to go up significantly in the near future - replacing the pessimism with a more optimistic mood will take some time.
The low prices will attract large investors and I expect foreign players to return, including speculators.
As a whole, the positive trend will be back on BSE in a matter of several months. This, of course, will depend on the situation on the global markets.
In the short-term, I expect a highly volatile week on BSE.
Angel Dikov, Analyses and Markets director, Somoni Asset Management
Many positions hit a 12-month low in March. Investors confidence is extremely low, which amid the low turnovers we are seeing these days, leads to plunges.
Buyers are very cautious and prefer placing very low bids.
We also saw that there is a correlation between BSE and global markets only during corrections and bad news.
The corruption scandals and violations of the EU funds distribution are adding to the nervousness on the market. And when several negative factors appear at one time, this leads to massive cashing on the capital market.
The negative trend should be over soon, as prices have reached very low levels and I expect institutional investors to become more active.
Stillt, investors will be cautious and trying to avoid all risks for quite some time now.
*This article is analytical. This is not a recommendation for buying/selling stock.