Karachi, February 11, 2019 (PPI-OT): KSE-100; Correction to continue
The KSE-100 index lost 445 points to close at 40,887. Volumes stood at 169mn shares versus 138mn shares traded previously. The index has dropped below the 200-DMA that will restrict upside at 41,113; where a break above is needed to refresh upward momentum. Meanwhile, a drop below Friday’s low will extend the decline towards 40,595, followed by 39,870. The RSI and the Stochastic Oscillator have generated a Sell signal, suggesting a corrective trend ahead. JS Securities Limited recommends investors to ‘Sell on Strength’, keeping stoploss above the 200-DMA. The support and resistance are at 40,571 and 41,206, respectively.
MCB: Correction to continue
Strategy: ‘Sell on Strength’ – targeting Rs199.89; stoploss at Rs210.00.
NCL: Downside likely
Strategy: ‘Sell on Strength’ – targeting Rs53.97; stoploss at Rs58.11.