Karachi, August 30, 2023 (PPI-OT): KSE-100 - Index declines by 708pts

Market View - Technical

The index opened on a n negative note and faced a bearish session. The local bourse posted a low of 880pts and concluded with a loss of 708pts to settle at 46,770pts. The volumes witnessed in the last trading session were comparatively higher than the previous trading session. Currently the MACD is bearish since it is trading below its signal line. The MACD crossed below its signal line 13 trading sessions ago. Since the MACD crossed its moving average, the local bourse has decreased 3.02% and has ranged from a high of 48,899 to a low of 46,598. The RSI has just reached its lowest value in the last 14 trading sessions which is at 46.15

The chart formation depicts that the index may find initial support near 46,600. A break below mentioned support can result into further weakness towards 46,200 and 45,800pts level. Alternatively, the index can face resistance near 47,350pts initially and then head towards 47,700 and 48,000 areas. It is recommended to focus on profit taking and trade with a cautious approach.