Karachi, September 21, 2022 (PPI-OT): KSE-100: Faces bearish session

Market View — Technical

The index opened on a flat note and faced a volatile session volatile. The local bourse posted an intraday high of 121pts, a low of 442pts and concluded with a loss of ↓300pts to settle at 41,221pts. The volumes clocked in the last trading session were slightly better than the previous trading session. The Index traded in the positive trajectory in the initial hour but could not manage to hold gains and pared all gains at one point and traded mostly with a bearish stance. The Index violated 61.8% of the Fibonacci retracement (39,541-43,888) during intraday trading but closed above 41,200 level. The Index is currently trading below short and long moving averages on daily chart.

The chart formation depicts that the index may find initial support near 41,200. A break below mentioned support can result into further weakness towards 41,000 and 40,700pts level. Alternatively, the index can face resistance near 41,400pts initially and then head towards 41,700 and 42,000 area. It is recommended to trade with a cautious approach.