Karachi, February 07, 2023 (PPI-OT): KSE-100 closed above the 50-DMA; ‘Positive’

KSE-100 index showed positive movement to close at 41,191 level, up 720 points DoD. Volumes improved to 177mn shares from 105mn shares traded previously. The index has closed above the 50-DMA which indicates potential for further upside. The next target is established at the 200-DMA that currently stands at 41,811. However, any downside will find support in the range of 40,670-40,990, followed by the 50-DMA at the 40,545. The RSI and the MACD have moved up, supporting a positive view. We recommend investors to ‘Buy on dips’, with risk defined below 40,545. The support and resistance are at 40,674 and 41,505 points, respectively.

OGDC: Rising Window

Strategy: ‘Buy on dips’ – targeting Rs95.33 and Rs99.11; stoploss at Rs90.82.

SNGP: Break above its recent high

Strategy: ‘Buy on dips’ – targeting Rs46.26 and Rs48.19; stoploss at Rs41.00.