Karachi, May 15, 2023 (PPI-OT): KSE-100; 200-DMA breakout confirmation

KSE-100 index witnessed a volatile session on Friday to close at 41,488, up 162 points DoD. Volumes stood at 89mn shares versus 97mn shares traded previously. The index is expected to re-test resistance at Friday's high of 41,649 where a break above that will target 41,874. However, any downside will be tested at the 200-DMA that is currently at 41,318. The RSI and the Stochastic Oscillator are heading up, supporting a positive view. We recommend investors to view any downside as an opportunity to 'Buy', with risk defined below the 200-DMA. The support and resistance are at 41,308 and 41,658 points, respectively.

ENGRO: Upside to continue

Strategy: 'Buy on dips' - targeting Rs270.89 and Rs273.22; stoploss at Rs263.89.

DGKC: Likely to resume uptrend

Strategy: 'Buy on dips' - targeting Rs50.75 and Rs52.98; stoploss at Rs46.42.