Karachi, November 15, 2022 (PPI-OT): KSE-100; Consolidation expected below 200-DMA

KSE-100 index showed negative movement to close at 42,851, down 242 points. Volume stood at 186mn shares versus 233mn shares traded previously. The index has dropped below the 200-DMA that will now restrict upside at 42,967 and we may expect a short term consolidation below it. However, a drop below 42,762 (yesterday’s low) will initiate the corrective trend with 42,355 as the downside target. The indicators are mixed, signalling no clear trading view. Investors are recommended to stay cautious on the higher side and wait for dips. The support and resistance are at 42,711 and 43,042 levels, respectively.

OGDC: Limited downside risk

Strategy: ‘Buy on dips’ – targeting Rs81.32; stoploss at Rs75.00.

HCAR: Recovery expected

Strategy: ‘Buy on dips’ – targeting Rs173.59 and Rs184.91; stoploss at Rs162.80.