Karachi, December 13, 2022 (PPI-OT): KSE-100; A short term reversal expected

KSE-100 index posted a decline of 158 points to close at 41,541. Volumes stood at 134mn shares versus 191mn shares traded previously. An Engulfing Bear has occurred in a downtrend which indicates a bullish reversal, though, requires confirmation. Meanwhile, the downside will find support in the range of 41,300 to 41,510. However, any upside will face resistance at yesterday’s high of 41,784 where a break above that will target 42,138 (50-DMA). JS Securities Limited recommends investors to view any downside as an opportunity to ‘Buy’, with risk defined below 41,297. The support and resistance are at 41,440 and 41,713 levels, respectively.

PPL: Support at the 30-DMA

Strategy: ‘Buy on dips’ – targeting Rs58.44 and Rs61.25; stoploss at Rs54.90.

HCAR: Upside likely

Strategy: ‘Buy on dips’ – targeting Rs159.92 and Rs166.93; stoploss at Rs149.00.