Karachi: The KSE-100 index experienced a significant decline, closing at 117,226, down by 1,204 points from the previous day. Trading volumes also fell, with 605 million shares changing hands compared to 741 million in the prior session.

The index appears to be on a path towards its 30-day moving average (DMA) at 116,516, with the 50-DMA at 115,059. Any upward movement is expected to encounter resistance between the 117,720 and 118,320 levels. Technical indicators such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) suggest a continuing negative trend.

Investment analysts recommend caution at the current index level and advise investors to wait for potential dips. The support and resistance levels are identified at 116,627 and 118,318, respectively.

In specific stock strategies, DG Khan Cement (DGKC) is advised as a 'buy on dips,' targeting Rs129.38 and Rs132.38, with a stop-loss set at Rs123.43. Meanwhile, Honda Atlas Cars (HCAR) is also recommended as a 'buy on dips,' with targets of Rs303.10 and Rs307.00, and a stop-loss at Rs295.58.

These insights and recommendations were provided by JS Global, indicating a cautious approach in the current market climate.