Karachi: The KSE-100 index showed signs of short-term consolidation after reaching a high of 120,797, before closing at 118,792, down 146 points on a day-over-day basis. Trading volumes were notably high, with 554 million shares changing hands compared to the previous 423 million shares.

Market analysts indicate that a short-term consolidation phase is likely as the index finds its nearest support between the 118,070 and 118,330 levels. A drop below this range could lead to a corrective trend, with potential declines to 117,757 and 116,931. Resistance is anticipated in the range of 119,430 to 120,150, with a further resistance level at 122,299.

Investment strategists recommend that investors exercise caution at higher levels and suggest waiting for market dips. The current support and resistance levels are marked at 118,074 and 120,153, respectively.

In related market strategies, JS Global has identified Pakistan Petroleum Limited (PPL) as having limited downside risk, recommending a 'buy on dips' strategy with target prices of Rs189.80 and Rs192.43, and a stop-loss set at Rs181.77. Similarly, Honda Atlas Cars (HCAR) is expected to consolidate above key averages, with a 'buy on dips' strategy targeting Rs309.69 and Rs312.90, and a stop-loss at Rs295.94.