Karachi, January 02, 2019 (PPI-OT): KSE-100; Short term recovery ahead
The KSE-100 index posted a gain of 929 points to close at 37,996. Volumes stood at 97mn shares versus 226mn shares traded previously. The index has confirmed its previous bullish formation (Doji Star) indicating a short term recovery trend ahead. The RSI and the Stochastic Oscillator have generated a Buy signal, supporting the above view. A break above 38,047 will extend the gain towards 38,460, however, any downside will find support in the range of 37,495-37,700. Investors are recommended to view any downside as an opportunity to ‘Buy’, with risk defined below 37,499. The support and resistance are at 37,650 and 38,344, respectively.
POL: Recovery to continue
Strategy: ‘Buy on dips’ – targeting Rs465.11; stoploss at Rs427.01.
DGKC: Recovery expected
Strategy: ‘Buy on dips’ – targeting Rs92.04; stoploss at Rs80.04.