Karachi, January 31, 2019 (PPI-OT): Spinning Top formation – stay cautious
The KSE-100 index ended the session lower at 40,607 (-17 points). Volumes stood low at 125mn shares versus 155mn shares traded previously. The index is expected to face resistance at yesterday’s high of 40,777; where a break above will target 41,265 (200-DMA). However, a fall below 40,531 (yesterday’s low) will kick off the corrective trend with 39,167 as the downside target. The RSI has moved down, while the Stochastic Oscillator is rising, signalling no clear trading view. JS Securities Limited recommends investors to stay cautious at current levels. The support and resistance are at 40,460 and 40,754, respectively.
PPL: Upside to continue
Strategy: ‘Buy on dips’ – targeting Rs196.44; stoploss at Rs187.02.
AICL: Upside to continue
Strategy: ‘Buy on dips’ – targeting Rs47.18; stoploss at Rs44.25.