The Nepal Stock Exchange (Nepse) ended the April 13–17 trading week largely flat, with the benchmark index up just 0.02 percent in a holiday-shortened session. However, market capitalisation rose by Rs58 billion, indicating strong stock-specific activity despite muted index movement.

The week reflected clear sectoral rotation, with liquidity shifting away from large-cap banking stocks into mid-cap and speculative segments. The Banking sub-index fell 0.27 percent, weighing on blue-chip performance.

The Hotel and Tourism sub-index led gains, rising 5.13 percent, driven by seasonal optimism around Nepali New Year 2083 and expectations of higher tourism activity.

Market analyst Manish Aryal said the recent two-day weekend practice has had a psychological impact on the sector, supporting occupancy and tourism demand.

Hydropower also strengthened, gaining 1.95 percent, with energy stocks dominating top gainers. Suryakunda Hydro and Ridge Line Energy surged sharply, with some low-cap energy stocks rising up to 46 percent, indicating heightened speculative interest.

National Hydro Power led the market in both turnover (Rs 2.727 billion) and volume (8.43 million shares), suggesting high churn rather than long-term accumulation. Active trading in Kumari Bank and Ankhu Khola further reflected retail preference for low-priced stocks.

Broader indices signalled caution. The Sensitive Index fell 0.26 percent and the Float Index declined 0.30 percent, reflecting weakness in tradable shares. Insurance sectors also eased, with life and non-life insurance indices each down nearly 1 percent.

Technically, strong support is seen in the 2,680-2,700 level, while resistance lies between 2,960 and 2,970. The market remained consolidated. The MACD showed flattening and convergence of signal lines, indicating weak directional momentum. The RSI stayed near the neutral 50–55 range, suggesting neither overbought nor oversold conditions.

Analyst Shakti Koirala said the RSI should remain above 60 for the market to enter an aggressive bullish phase. He described current conditions as sideways, noting reluctance to fall and signs of accumulation. He added that sustained upward momentum could emerge next week, barring adverse political developments.

Aryal said intraday buying pressure on Friday’s final trading session signalled strength, helping the index close higher by 5.36 points.