Karachi, September 24, 2018 (PPI-OT): KSE-100; Recovery to continue with 41,538 in sight
The KSE-100 index extended the gain to close at 41,320 (+82 points). Volumes stood at 159mn shares versus 167mn shares traded previously. The index is expected to target the 50-DMA standing at 41,538; where a break above will target the 30-DMA at 41,877. However, any downside will find support at 41,101 (low of Sep 19, 18); where a fall below may resume the downtrend. The RSI and the Stochastic Oscillator have moved up, supporting a recovery view. JS Securities Limited recommends investors to ‘Buy on dips’, with risk defined below 41,101. The support and resistance are at 41,173 and 41,468, respectively.
NML – Upside target remains intact
Strategy: ‘Buy on dips’ – targeting Rs148.70; stoploss at Rs143.02.
DGKC – Recovery to continue
Strategy: ‘Buy on dips’ – targeting Rs110.27 and Rs113.43; stoploss at Rs105.40.