Karachi, August 29, 2023 (PPI-OT): KSE-100 - Trades below middle Bollinger band

Market View - Technical

The index opened on a positive note and faced a bearish session. The local bourse posted a low of 272pts and concluded with a loss of 193pts to settle at 47,479pts. The volumes witnessed in the last trading session were comparatively higher than the previous trading session. The Index is trading below middle Bollinger band on daily chart. The index is currently followed by a declining trend line. The Index has been forming a lower high and a higher low for the last couple of weeks.

The chart formation depicts that the index may find initial support near 47,200. A break below mentioned support can result into further weakness towards 47,000 and 46,800pts level. Alternatively, the index can face resistance near 47,700pts initially and then head towards 48,000 and 48,500 areas. It is recommended to focus on profit taking and trade with a cautious approach.