Karachi, May 29, 2020 (PPI-OT): KSE-100 expected to test support at the 30-DMA
The KSE-100 index posted a loss of 141 points to close 33,695. Volumes stood at 195mn shares versus 147mn shares traded previously. The index is likely to revisit yesterday’s low of 33,598 where a drop below will target 33,064 (30-DMA), followed by 32,128. However, any upside will face resistance in the range of 33,810-33,950 where a break above will target the 200-DMA at 35,675. The Stochastic Oscillator and the RSI are heading down, suggesting a corrective trend ahead. JS Securities Limited recommends investors to ‘Sell’ below 33,598. The support and resistance are at 33,574 and 33,817, respectively.
UBL: Downside likely
Strategy: ‘Sell on Strength’ – targeting Rs87.50; stoploss at Rs99.00.
LOTCHEM: Slide to continue
Strategy: ‘Sell on Strength’ – targeting Rs9.13 and Rs8.23; stoploss at Rs9.96.