Karachi, April 12, 2022 (PPI-OT): KSE-100: Breaks above the trend line

The index gapped up with 977pts and remained bullish throughout the last trading session. The Index posted an intraday high of 1,771pts, and concluded with a gain of 1,700pts to settle at 46,145pts level. The volumes witnessed during the last trading session were comparatively higher than the previous trading session and a single day gain of 1,700pts is a new record. The index broke above the down trend line at 46,145 in the last trading session. This is a bullish sign now this down trend line, may provide downside support. Volume on the day of the breakout was quite heavy 142% above average. This makes the breakout even more significant.

The chart formation depicts that the index may find initial support near 45,600. A break below mentioned support can result into further weakness towards 45,350 and 45,100pts level. Alternatively, the index can face resistance near 46,450pts initially and then head towards 46,700 and 47,150 area. It is recommended to accumulate positions on weakness with risk defined below support zone.