Karachi, November 11, 2019 (PPI-OT): Indicators overbought; stay cautious
The KSE-100 index extended the gain to close at 35,978, up 220 points. Volumes stood at 211mn shares versus 266mn shares traded previously. The index is likely to revisit Friday’s high of 36,049 where a break above will extend the gain towards 36,434. However, any downside will find support at 35,759, followed by the 200-DMA at 35,302. Meanwhile, the RSI and the Stochastic Oscillator are overbought, hinting a limited upside. JS Securities Limited recommends investors to stay cautious on the higher side and wait for dips. The support and resistance are at 35,849 and 36,108, respectively.
SNGP: Corrective trend remains intact
Strategy: ‘Sell on Strength’ – targeting Rs69.26 and Rs66.35; stoploss at Rs75.00.
MCB: Upside to continue
Strategy: ‘Buy on dips’ – targeting Rs213.00; stoploss at Rs189.00.