Karachi, July 05, 2023 (PPI-OT): KSE-100_Faces a highly volatile session

Market View - Technical

The index opened with a positive note and remained volatile throughout the last trading session. The local bourse posted a high of 612pts, a low of 411pts and concluded with a loss of 342pts to settle at 43,557pts. The volumes clocked in the last trading session were comparatively higher than the previous trading session. The bourse closed above the upper band by 3.9%. The large width of the bands suggest high volatility as compared to the normal range of the Index. The bands have been in this wide range for the last two trading sessions. During the last ten trading sessions, there have been 4 white candles and 6 black candles for a net of 2 black candles.

The chart formation depicts that the index may find initial support near 43,500. A break below mentioned support can result into further weakness towards 42,800 and 42,400pts level. Alternatively, the index can face resistance near 44,000pts initially and then head towards 44,500 and 45,000 areas. It is recommended to accumulate positions on weakness with risk defined below support zone.