Karachi, October 01, 2021 (PPI-OT): KSE-100; Recovery to continue
The KSE-100 index after making a low of 43,972, recovered to close at 44,900 (+533 points). Volumes stood at 372mn shares versus 469mn shares traded previously. If the gain continues, the likely target will be at the 200-DMA that currently stands at a level of 46,032. Meanwhile, any downside will find support at yesterday’s low of 43,972 where a fall below that level will extend the decline towards 43,630. The RSI and the Stochastic Oscillator have improved, supporting a recovery view. Investors are recommended to ‘Buy on dips’, keeping stoploss below 44,280. The support and resistance are at 44,281 and 45,209, respectively.
MLCF: Engulfing Bull
Strategy: ‘Buy on dips’ – targeting Rs37.50 and Rs39.37; stoploss at Rs33.11.
ISL: Recovery trend ahead
Strategy: ‘Buy on dips’ – targeting Rs82.70; stoploss at Rs72.20.