Karachi, June 07, 2022 (PPI-OT): KSE-100; Trend still remains bearish

KSE-100 closed the session higher at 41,577, up 262 points compared to Friday’s close. However, volumes stood low at 189mn shares versus 225mn shares traded previously. Despite a positive closing, the index has formed a lower high and lower low that indicates the trend still appears to be bearish. Though, a short-term pullback towards 42,000 to 42,600 levels cannot be ruled out. The indicators are mixed, signalling no clear trading view. JS Securities Limited recommends investors to stay sellers below 42,590. The support and resistance are at 41,181 and 41,824, respectively.

PPL: Engulfing Bull

Strategy: ‘Buy on dips’ – targeting Rs70.13 and Rs71.18; stoploss at Rs64.22.

HCAR: Limited upside

Strategy: ‘Sell on Strength’ – targeting Rs166.00; stoploss at Rs181.88.