Karachi, February 01, 2019 (PPI-OT): KSE-100 index approaching 200-DMA; stay cautious
The KSE-100 index showed positive movement to close at 40,800, up 192 points. Volumes stood at 240mn shares versus 125mn shares traded previously. The index is expected to target the 200-DMA standing at 41,236. However, any downside will find support at yesterday’s low of 40,607; where a fall below will initiate a corrective trend with 39,155 as the downside target. The RSI and the Stochastic Oscillator are overbought, hinting a limited upside. Investors are recommended to stay cautious on the higher side. The support and resistance are at 40,687 and 40,913, respectively.
ENGRO: Slide to continue
Strategy: ‘Sell on Strength’ – targeting Rs322.72; stoploss at Rs337.98.
PTC: Upside likely
Strategy: ‘Buy on dips’ – targeting Rs10.91; stoploss at Rs10.18.