Karachi, December 27, 2022 (PPI-OT): KSE-100: Faces a bullish session

The index opened on a positive note and faced a bullish session amidst good volumes. The local bourse posted an intraday high of 698pts and concluded with a gain of 486pts to settle at 40,155pts. The volumes clocked in the last trading session were comparatively higher than the previous trading session. The index is currently trading below minor moving averages on daily chart. Among the Strength indicators, RSI is not currently in a topping (above 70) or bottoming (below 30) range. However, the RSI just crossed above 30 from a bottoming formation. This indicates a bullish sign.

The chart formation depicts that the index may find initial support near 39,800. A break below mentioned support can result into further weakness towards 39,600 and 39,400pts level. Alternatively, the index can face resistance near 40,400pts initially and then head towards 40,700 and 40,900 area. It is recommended to accumulate positions on weakness with risk defined below support zone.