Karachi, March 27, 2023 (PPI-OT): KSE-100 – Bearish sessions in a row
The index opened on a positive note and faced a bearish trading session amidst low volumes. The local bourse posted an intraday high of 80pts, a low of 453pts and concluded with a loss of 434pts to settle at 39,942pts. The volumes clocked in the last trading session were lower than the previous trading session. Among the strength Indicators, RSI (Relative Strength Index) is currently approaching towards an oversold region from where a short term pull back could be expected. The index is currently trading below minor and major moving averages on daily charts.
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 39,500 and 39,200pts level. Alternatively, the index can face resistance near 40,400pts initially and then head towards 40,700 and 41,000 area. It is recommended to accumulate positions on weakness with risk defined below support zone.