Karachi, April 17, 2023 (PPI-OT): KSE-100: Closes below 21-SMA

The index opened on a positive note and remained bullish throughout the last trading session. The local bourse posted an intraday high of 293pts and concluded with a gain of 80pts to settle at 40,206pts. The volumes clocked in the last trading session were slightly lower than the previous trading session. The index has been trading in a thin range. Among the strength indicators, the current reading of RSI is at 47. MACD’s histogram is currently in a positive trajectory and seems to grow further in near term.

The chart formation depicts that the index may find initial support near 40,000. A break below mentioned support can result into further weakness towards 39,800 and 39,500pts level. Alternatively, the index can face resistance near 40,500pts initially and then head towards 40,800 and 41,200 area. It is recommended to accumulate positions on weakness with risk defined below support zone.