Karachi, December 21, 2021 (PPI-OT): KSE-100; Upside likely

KSE-100 index extended the gain to close at 44,340, up 439 points. Volumes stood at 238mn shares versus 252mn shares traded previously. If the gain continues, the expected target will be in the range of 44,730-45,100 where a break above these levels will target the 200-DMA that is currently at 46,029 level. Meanwhile, any downside will find support in the range of 43,930-44,215. The RSI and the MACD are heading up, supporting a positive view. Investors are suggested to ‘Buy on dips’ with risk defined below 43,809. The support and resistance are at 43,938 and 44,614, respectively.

ENGRO: Recovery expected

Strategy: ‘Buy on dips’ – targeting Rs277.16 and Rs291.41; stoploss at Rs267.40.

UBL: Downside target remains intact

Strategy: ‘Sell on Strength’ – targeting Rs127.40; stoploss at Rs137.45.