Karachi, July 29, 2021 (PPI-OT): KSE-100 dropped below the 50-DMA, a negative sign
The KSE-100 index posted a loss of 369 points to close at 47,318. Volumes stood at 366mn shares versus 433mn shares traded previously. The index has dropped below the 50-DMA that will now restrict upside at 47,519, followed by 47,752 (30-DMA). Meanwhile, a fall below 47,241 will extend the decline towards 46,937 which could later extend to 45,674. The RSI and the MACD have moved down, supporting a negative view. Investors are recommended to ‘Sell on Strength’, with risk defined above the 30-DMA. The support and resistance are at 47,081 and 47,715, respectively.
ISL: Downside target remains intact
Strategy: ‘Sell on Strength’ – targeting Rs86.06; stoploss at Rs90.80.
HCAR: Correction to continue
Strategy: ‘Sell on Strength’ – targeting Rs358.92; stoploss at Rs388.00.