Karachi, December 29, 2022 (PPI-OT): KSE-100: Plummets by 523pts

The index opened on a slightly positive note and faced a bearish session amidst good volumes. The local bourse posted an intraday low of 776pts and concluded with a loss of 523pts to settle at 39,279pts. The volumes clocked in the last trading session were comparatively higher than the previous trading session. The index traded below important support zone during intraday trading in the last trading session, MACD is bearish since it is trading below its signal line. The Index is currently trading below important moving averages on daily and weekly charts. During the last ten trading sessions, there have been three white candles and seven black candles for a net of four black candles.

The chart formation depicts that the index may find initial support near 39,000. A break below mentioned support can result into further weakness towards 38,700 and 38,400pts level. Alternatively, the index can face resistance near 39,700pts initially and then head towards 40,000 and 40,400 area. It is recommended to accumulate positions on weakness with risk defined below support zone.