Karachi, January 25, 2022 (PPI-OT): KSE-100 expected to consolidate above the 50-DMA

The KSE-100 index witnessed range bound activity to close at 44,924, down 94 points DoD. Volumes stood at 160mn shares versus 176mn shares traded previously. The index is likely to consolidate above the 50-DMA which is currently at 44,701 where a fall below the said level will target 44,275 (low of Jan 20, 2022). However, any upside will revisit last trading session’s high of 45,045 where a break above that level will target 45,477, followed by the 200-DMA at 46,023 level. The indicators are mixed, signalling no clear trading view. JS Securities Limited recommends investors to stay ‘long’ above the 50-DMA. The support and resistance are at 44,799 and 45,046, respectively.

SNGP: Downside target remains intact

Strategy: ‘Sell on Strength’ – targeting Rs32.2 and Rs30.9; stoploss at Rs34.1.

PSO: Limited downside risk

Strategy: ‘Buy on dips’ – targeting Rs198.9 and Rs206.5; stoploss at Rs182.5.