Karachi: The KSE-100 index maintained its bullish momentum in the latest trading session, surging by 1,752 points to close at 88,946. The market opened strong and reached a peak of 1,932 points during the session, with trading volumes up by 8% from the previous day.

According to AKD Securities Limited, the index is currently 21.4% above its 200-period moving average, indicating a sustained upward trend. Despite closing above the upper Bollinger band by 0.7%, which suggests the market is in an overbought state, the trend forecasting oscillators remain bullish. However, the firm highlighted the possibility of a short-term pullback within the bands due to these conditions.

Volume indicators show moderate inflows, supporting the bullish market sentiment. The momentum oscillator also signals that the index may be overbought, which could lead to short-term volatility.

Technical analysis by AKD Securities suggests that the KSE-100 may encounter initial support near the 86,000 points mark. A drop below this level could trigger further declines towards 85,600 and 85,350 points. Conversely, resistance is likely near 86,500 points, with potential to push towards 87,200 and 87,600 points. Investors are advised to consider initiating buying positions with defined risks below the support zone.