Karachi, October 27, 2022 (PPI-OT): KSE-100 dropped below the key support; stay cautious

Bears dominated the session as KSE-100 index lost 650 points to close at 41,540 level. Volumes stood at 265mn shares versus 195mn shares traded previously. The index has fallen below the 30-DMA and the 50-DMA that will now restrict upside at 41,667 and 41,978 levels, respectively. Meanwhile, a fall below 41,490 (yesterday’s low) will target 41,279, followed by 40,418. The RSI and the MACD has shown weakness, suggesting a negative trend ahead. JS Securities Limited recommends investors to ‘Sell’ below 41,490. The support and resistance are at 41,290 and 41,990 levels, respectively.

ATRL: Correction to continue

Strategy: ‘Sell on Strength’ – targeting Rs155.70 and Rs153.57; stoploss at Rs167.70.

ENGRO: Engulfing Bear

Strategy: ‘Sell on Strength’ – targeting Rs237.83; stoploss at Rs249.00.