Karachi, May 15, 2019 (PPI-OT): Consolidation expected; stop selling above 34,067
The KSE-100 index posted a loss of 15 points to close at 33,885. Volumes stood at 106mn shares versus 121mn shares traded previously. The index is likely to revisit yesterday’s low of 33,692 where a fall below will continue the downtrend with 33,036 and 31,838 as the downside targets. However, a break above 34,067 (yesterday’s high) will kick off the recovery trend with 35,123 in sight. The MACD has moved down, while the Stochastic Oscillator has shown improvement, signaling no clear trading view. We recommend investors to stop selling above 34,067. The support and resistance are at 33,661 and 34,111, respectively.
HUBC: Recovery to continue
Strategy: ‘Buy on dips’ – targeting Rs74.20 and Rs76.71; stoploss at Rs70.50.
ICI: Recovery likely
Strategy: ‘Buy on dips’ – targeting Rs629.63 and Rs643.11; stoploss at Rs601.09.