Karachi, February 02, 2023 (PPI-OT): KSE-100; 50-DMA still remains a key hurdle

KSE-100 index witnessed a volatile session to close at 40,620 level, down 53 points DoD. Volumes stood at 131mn shares versus 153mn shares traded previously. The index is currently facing resistance at the 50-DMA that stands at 40,655 where a break above that will target 41,095, followed by the 200-DMA at 41,895 level. However, any downside will find support at 40,611 as any drop below this level will target the 30-DMA at 39,988 points. The indicators are mixed, signalling no clear trading view. JS Securities Limited recommends investors to view any downside as an opportunity to ‘Buy’, with risk defined below the 30-DMA. The support and resistance are at 40,492 and 40,867 points, respectively.

ISL: Recovery likely

Strategy: ‘Buy on dips’ – targeting Rs41.76 and Rs43.46; stoploss at Rs39.38.

DGKC: Upside likely

Strategy: ‘Buy on dips’ – targeting Rs45.78 and Rs47.50; stoploss at Rs40.25.