Karachi, November 17, 2021 (PPI-OT): KSE-100 closed above the 200-DMA – ‘Positive’

The KSE-100 index resumed its uptrend to close at 46,543, a gain of 807 points. Volumes stood at 243mn shares versus 173mn shares traded previously. The index has closed above the 200-DMA indicating potential upside ahead. The initial upside target has been established at 47,608, with a chance of later extending towards 48,397. Meanwhile, any downside will be restricted at the 200-DMA that currently stands at 46,262. The RSI has improved and the Stochastic Oscillator has generated a Buy signal, supporting a positive view. Investors are recommended to ‘Buy on dips’, with risk defined below the 200-DMA. The support and resistance are at 45,978 and 46,866, respectively.

MLCF: Moving averages to restrict downside

Strategy: ‘Buy on dips’ – targeting Rs39.05 and Rs41.74; stoploss at Rs35.46.

ENGRO: Upside to continue

Strategy: ‘Buy on dips’ – targeting Rs295.16; stoploss at Rs280.18.