Karachi, October 29, 2021 (PPI-OT): KSE-100; Upside restricted at the 200-DMA

The KSE-100 index extended the gain to close at 45,985, up 193 points. Volumes stood at 230mn shares as compared to 180mn shares traded previously. The index is expected to test resistance at the 200-DMA that stands at 46,192 and a break above the said level will extend the gain towards 47,387. However, any downside will find support in the range of 45,810-45,940 where a fall below will target the 30-DMA at 45,116, followed by 44,237. The RSI and MACD are heading up, supporting a positive view. JS Securities Limited recommends investors to ‘Buy on dips’, with risk defined below the 30-DMA. The support and resistance are at 45,814 and 46,109 points, respectively.

HCAR: Recovery to continue

Strategy: ‘Buy on dips’ – targeting Rs253.49; stoploss at Rs216.11.

ISL: Upside target remains intact

Strategy: ‘Buy on dips’ – targeting Rs87.90 and Rs89.04; stoploss at Rs77.68.