Karachi, April 11, 2023 (PPI-OT): KSE-100; Range bound activity expected

KSE-100 extended the decline to close at 39,836 level, down 214 points. Volumes stood at 106mn shares versus 135mn shares traded previously. If the decline continues, the expected target will be at 39,482 which could later extend to 38,822 level. However, any upside will face resistance in the range of 39,940-40,190 levels where a break above that will target the 30-DMA at 40,708 level. The RSI and the Stochastic Oscillator have moved down, suggesting a negative trend ahead. A cautious stance is required at current levels. The support and resistance are at 39,707 and 40,075 points, respectively.

BOP: The stock is oversold

Strategy: ‘Buy on dips’ – targeting Rs4.20 and Rs4.44; stoploss at Rs3.76.

HCAR: Bullish Divergence

Strategy: ‘Buy on dips’ – targeting Rs116.13 and Rs120.78; stoploss at Rs109.00.