Karachi: The KSE-100 index, a key benchmark of Pakistan's stock market, experienced a volatile trading session, closing at 172,197, a decline of 1,742 points day-over-day. Trading volumes also saw a decrease, with 1,296 million shares exchanged compared to 1,441 million in the previous session. Analysts are predicting consolidation in the index as it approaches crucial support and resistance levels.

According to JS Global, the index is anticipated to test the support level at 169,226. A drop below this point is expected to target the 50-day moving average (50-DMA) at 162,767. On the upside, resistance is anticipated at the previous day's high of 174,524, with a potential target of 179,280 if this level is breached. Mixed signals from momentum indicators suggest a lack of a definitive trading view. Investors are advised to exercise caution and consider buying during market dips. Current support and resistance levels are identified at 169,440 and 174,738, respectively.

In related market strategies, the report highlights a recovery trend for ISL, recommending a 'buy on dips' approach with target prices of Rs92.00 and Rs94.23, and a stop loss at Rs86.00. Similarly, OGDC is expected to see continued upside, with a 'buy on dips' strategy targeting Rs331.00 and Rs336.20, and a stop loss set at Rs316.10.