Karachi, September 06, 2022 (PPI-OT): KSE-100: Approaching towards 50-SMA
The index opened on a positive note and remained under pressure throughout the last trading session. The local bourse posted an intraday low of 450pts and concluded with a loss of (Downward) 450pts to settle at 41,859pts. The volumes clocked in the last trading session were comparatively lower than the previous trading session. The index is approaching towards 50-SMA (Simple Moving Average) on daily chart. The volume bars constantly in a descending order for last three consecutive trading sessions. A consolidation above 50-SMA will be a sign of relief.
The chart formation depicts that the index may find initial support near 41,750. A break below mentioned support can result into further weakness towards 41,400 and 41,200pts level. Alternatively, the index can face resistance near 42,200pts initially and then head towards 42,600 and 42,900 area. It is recommended to accumulate positions on weakness with risk defined below support zone.