Karachi, March 13, 2018 (PPI-OT):KSE-100 index to test resistance at the 30-DMA
The KSE-100 index posted a gain of 400 points to close at 43,411. Volumes stood low at 110mn shares versus 140mn shares traded previously. The index has closed above the 200-DMA is expected to test resistance at the 30-DMA; where a break above is needed to refresh upward momentum. However, any downside is likely to find support at yesterday’s low of 43,011; where a fall below may extend the decline towards 42,384. The RSI and the Stochastic Oscillator have moved up, suggesting a positive trend ahead. JS Securities Limited recommends investors to stop selling above the 30-DMA. The support and resistance are at 43,227 and 43,596, respectively.
MCB – Downside target remains intact
Strategy: ‘Sell on Strength’ – targeting Rs194.10; stoploss at Rs210.85.
PSO – Limited upside
Strategy: ‘Sell on Strength’ – targeting Rs285.00 and Rs277.55; stoploss at Rs296.90.