FLASHNEWS:

JS Securities Limited – Pakistan Market: Technical Outlook (October 18, 2021)

Karachi, October 18, 2021 (PPI-OT): KSE-100; Recovery to continue

The KSE-100 index continued its recovery trend to close at 44,822 (+488 points). Volumes stood at 334mn shares versus 389mn shares traded previously. If the gain continues, the initial target will be in the range of 45,000-45,500, which could later extend to a level of 46,113. However, any downside will find support in the range of 44,400-44,620. The RSI has moved up and the MACD has also generated a Buy signal, supporting a recovery view. We recommend investors to ‘Buy’ at lower levels, with risk defined below 44,197. The support and resistance are at 44,400 and 45,039, respectively.

ENGRO: Recovery trend ahead

Strategy: ‘Buy on dips’ – targeting Rs279.45 and Rs285.70; stoploss at Rs268.00.

PSO: Upside to continue

Strategy: ‘Buy on dips’ – targeting Rs193.45 and Rs202.52; stoploss at Rs185.81.