Karachi, December 22, 2017 (PPI-OT):KSE-100 – Upside likely with 39,217 in sight
Recovery movement continued for the KSE-100 index as it closed at 38,716, up 508 points. Volumes stood at 180mn shares versus 130mn shares traded previously. The recovery target for the index remains intact at 39,217, which could later extend to the 30-DMA standing at 39,758. However, any downside will find support at yesterday’s low of 38,015; where a fall below will resume the downtrend. The RSI and the MACD have shown improvement, supporting the above view. Investors are recommended to view any downside as an opportunity to ‘Buy’, keeping stoploss below 38,015. The support and resistance are at 38,333 and 39,102, respectively.
HBL – Restricted downside
Strategy: ‘Buy on dips’ – targeting Rs178.93; stoploss at Rs164.77.
PSO – Recovery likely
Strategy: ‘Buy on dips’ – targeting Rs287.15 and Rs302.22; stoploss at Rs267.50.