Karachi, December 05, 2017 (PPI-OT): Doji Star formation – look for reversal
Range bound activity continued for the KSE-100 index as it closed at 40,050, up 39 points. Volumes stood dull at 97mn shares versus 181mn shares traded previously. The index is expected to re-test resistance at yesterday’s high of 40,131; where a break above will extend the gain towards 40,709 (30-DMA), followed by 40,947. However, any downside will find support at 39,932; where a fall below will continue the downtrend with 38,681 and 38,139 as the next targets. Meanwhile, the RSI and the Stochastic Oscillator have shown improvement, suggesting a recovery trend ahead. JS Securities Limited recommends investors to ‘Buy’ above 40,131. The support and resistance are at 39,932 and 40,168, respectively.
ATRL – Recovery trend ahead
Strategy: ‘Buy on dips’ – targeting Rs301.11 and Rs312.94; stoploss at Rs284.00.
NML – closed above the 50-DMA
Strategy: ‘Buy on dips’ – targeting Rs149.00 and Rs156.07; stoploss at Rs140.89.