Karachi, November 16, 2022 (PPI-OT): KSE-100; Consolidation to continue

KSE-100 index extended the decline to close at 42,797, down 54 points DoD. Volumes stood at 189mn shares versus 186mn shares traded previously. The index is expected to revisit yesterday’s low of 42,749 where a fall below that will initiate the corrective trend with 42,355 and 42,050 (30-DMA) as the downside targets. However, any upside will face resistance at 42,956 (200-DMA), followed by 43,120 where a break above these levels will continue the uptrend with 43,634 and 44,229 in sight. The indicators are mixed, signalling no clear trading view. Investors are recommended to stay cautious on the higher side and wait for dips. The support and resistance are at 42,685 and 42,972 levels, respectively.

OGDC: Limited downside risk

Strategy: ‘Buy on dips’ – targeting Rs81.27; stoploss at Rs74.94.

HCAR: Recovery to continue

Strategy: ‘Buy on dips’ – targeting Rs172.91 and Rs184.66; stoploss at Rs162.07.