Bloomberg News

British-American of Kenya Falls Most in 3 Months: Nairobi Mover

April 27, 2012

British-American Investments Co. (BRIT), a Kenyan company which owns money managers and insurance businesses, dropped the most since January after a technical signal indicated the stock was poised to fall.

The stock declined 6.8 percent, the most since Jan. 4, to 4.80 shillings by the 3 p.m. close in Nairobi, the capital.

An eight-day rally between April 16 and 25 pushed the stock 20 percent higher, leaving the 14-day relative strength index at 83.19 on April 25, according to data compiled by Bloomberg. A reading above 70 means a security is overvalued and will probably fall. British American’s RSI has been above 70 since April 18.

“It is coming off because if you look at the counters that have gained of late, we are seeing some profit taking,” Eric Musau, a research analyst at Nairobi-based Standard Investment Bank Ltd., said in a phone interview today.

To contact the reporter on this story: Eric Ombok in Nairobi at eombok@bloomberg.net.

To contact the editor responsible for this story: Shaji Mathew at shajimathew@bloomberg.net


Ebola Rising
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus