Karachi, August 30, 2021 (PPI-OT): KSE-100 likely to re-test its key support; stay cautious

The KSE-100 index witnessed another negative session to close at 47,137, down 227 points. Volumes stood high at 382mn shares versus 361mn shares traded previously. The index is expected to revisit Friday’s low of 46,869 and a fall below that level will take the index to 46,672, followed by 45,371 (200-DMA). However, any upside will face resistance in the range of 47,480-47,620. The RSI and the MACD have also moved down, supporting a negative view. JS Securities Limited recommends investors to ‘Sell on Strength’, keeping stoploss above 47,620 (50-DMA). The support and resistance are at 46,873 and 47,396, respectively.

SNGP: Slide to continue

Strategy: ‘Sell on Strength’ – targeting Rs44.88; stoploss at Rs47.40.

HCAR: Downside target remains intact

Strategy: ‘Sell on Strength’ – targeting Rs333.00; stoploss at Rs349.00.