Karachi, July 27, 2023 (PPI-OT): KSE-100; A short breather is likely in bullish momentum

KSE-100 index witnessed another positive session to close at 46,683, up 265 points DoD. Volumes stood high at 430mn shares versus 320mn shares traded previously. The index is likely to re-test resistance at yesterday's high of 46,725 where a break above that will target 47,443 level. However, any downside will find support between 46,410 and 46,550 levels where a fall below these levels will initiate the corrective trend. Meanwhile, the RSI and the Stochastic Oscillator currently indicate market being overbought, warranting a cautious stance. Investors are recommended to stay cautious on the higher side and wait for dips. The support and resistance are at 46,546 and 46,772 levels, respectively.

DGKC: Upside to continue

Strategy: 'Buy on dips' - targeting Rs56.69 and Rs58.90; stoploss at Rs54.55.

PSO: Higher high and higher low

Strategy: 'Buy on dips' - targeting Rs126.10 and Rs128.58; stoploss at Rs121.70.