Karachi, January 10, 2022 (PPI-OT): KSE-100; Short term upside to continue

The KSE-100 index showed positive movement to close at 45,346, gaining 263 points. Volumes stood at 242mn shares versus 345mn shares traded previously. The index is consolidating above the 50-DMA that will restrict its downside at 44,975 where a fall below will kick off the corrective trend with 44,223 in sight. Meanwhile, the immediate resistance lies in the range of 45,400-45,500 and any upside break will target the 200-DMA that is currently at 46,000 level. The RSI and the MACD have moved up, supporting a positive view. JS Securities Limited recommends investors to ‘Buy on dips’, with risk defined below the 50-DMA. The support and resistance are at 45,088 and 45,484, respectively.

PSO: Trading above the 50-DMA – limited downside risk

Strategy: ‘Buy on dips’ – targeting Rs198.9; stoploss at Rs181.2.

ISL: Upside target remains intact

Strategy: ‘Buy on dips’ – targeting Rs76.5 and Rs83.8; stoploss at Rs69.9.