Karachi, February 01, 2018 (PPI-OT):KSE-100 dropped below the 200-DMA; ‘Negative’
Downward movement continued for the KSE-100 index as it closed at 44,049, down 184 points. Volumes stood at 289mn shares versus 282mn shares traded previously. The index has currently dropped below the 200-DMA indicating potential for further downside with 43,502 and 42,543 as the next targets. However, any upside will face resistance in the range of 44,355-44,495; where a break above is needed to refresh upward momentum. The RSI and the MACD are heading down, supporting a bearish view. Investors are recommended to ‘Sell’ on the higher side, with risk defined above 44,534. The support and resistance are at 43,745 and 44,355, respectively.
FFC – Upside likely
Strategy: ‘Buy on dips’ – targeting Rs96.34; stoploss at Rs88.50.
MCB – Slide to continue
Strategy: ‘Sell on Strength’ – targeting Rs220.78 and Rs212.64; stoploss at Rs234.49.