Karachi, December 03, 2021 (PPI-OT): KSE-100 to test support at its recent low; stay cautious

The KSE-100 index posted a sharp decline of 2,135 points to close at 43,234. Volumes stood at 387mn shares versus 241mn shares traded previously. The index is expected to test support at its recent low of 43,046 where a drop below the said level will cause the downtrend to resume with 41,970 and 41,303 as the next targets. However, any upside will face resistance in the range of 43,900-44,700. The MACD has moved down, while a bullish divergence has been created on the RSI, signalling no clear trading view. Investors are recommended to stay cautious at current levels. The support and resistance are at 42,425 and 43,897, respectively.

ATRL: Slide to continue

Strategy: ‘Sell on Strength’ – targeting Rs123.65 and Rs116.13; stoploss at Rs147.80.

DGKC: Downside likely

Strategy: ‘Sell on Strength’ – targeting Rs73.25; stoploss at Rs83.70.