Karachi, August 17, 2022 (PPI-OT): KSE-100 – Hovering near 200-SMA

The index opened with a positive bias and faced a volatile session. The local bourse posted an intraday high of 298pts and concluded with a gain of ↑240pts to settle at 43,677pts. The volumes clocked in the last trading session were comparatively higher than the previous trading session. Currently the index seems to head towards 200-SMA (Simple Moving Average) on daily chart. The volume bars are in ascending order and strength indicators like RSI and Stochastic Oscillator are bullish.

The chart formation depicts that the index may find initial support near 43,400. A break below mentioned support can result into further weakness towards 43,000 and 42,600pts level. Alternatively, the index can face resistance near 43,900pts initially and then head towards 44,400 and 44,800 area. It is recommended to accumulate positions on weakness with risk defined below support zone.