Karachi: The KSE-100 index experienced a notable decline, failing to sustain its intraday high of 93,872 and closing at 93,225, marking a drop of 424 points from the day before. The trading volume also saw a decrease, with 793 million shares traded compared to 815 million in the previous session.

According to JS Global, an Engulfing Bear pattern has emerged, indicating a potential negative trend ahead, though it requires further confirmation. Experts suggest that a decline below 92,893, which was the low of the previous day, will confirm the beginning of a corrective trend with targets of 92,046 and 90,827. Conversely, any upward movement will likely encounter resistance between 93,330 and 93,770, with a further resistance level at 94,020. Investors are advised to adopt a cautious approach at these levels, with immediate support around 92,788 and resistance at 93,766.

In related market insights, SNGP’s Relative Strength Index (RSI) is showing a bullish sign. The recommended strategy is to ‘Buy on dips’ with target prices of Rs89.39 and Rs91.11, and a stop-loss set at Rs82.01. Meanwhile, MLCF has generated a sell signal, with a strategy to ‘Sell on Strength’ targeting Rs40.41 and Rs38.46, and a stop-loss at Rs43.25.