Karachi, November 29, 2021 (PPI-OT): KSE-100; A short term recovery is expected

The KSE-100 index showed positive movement on Friday to close at 44,114, up 178 points. Volumes stood high at 290mn shares versus 195mn shares traded previously. The current pattern suggests that the index has stabilized at the level of 43,735 and we may expect a short term rebound towards the range of 45,200-45,500. However, a fall below the level of 43,735 will invalidate the above view and bearish movement will continue with 43,046 as the downside target. The RSI and the Stochastic Oscillator have moved up, supporting a recovery view. JS Securities Limited recommends investors to ‘Buy’ for trading gains, keeping stoploss below 43,735. The support and resistance are at 43,789 and 44,387, respectively.

HCAR: Recovery expected

Strategy: ‘Buy on dips’ – targeting Rs225.56; stoploss at Rs197.05.

UBL: Limited downside risk

Strategy: ‘Buy on dips’ – targeting Rs145.00 and Rs149.25; stoploss at Rs138.03.