Karachi: The KSE-100 index experienced notable volatility in the previous trading session despite opening on a positive note. The index recorded an intraday high of 816 points and a low of 1,116 points, ultimately closing with a loss of 794 points at 166,553. Market participation showed signs of weakening, with trading volumes dropping by 28% compared to the prior session.

The Moving Average Convergence Divergence (MACD) indicator remains in bearish territory, continuing its position below the signal line. This bearish crossover began nine sessions ago, during which the index has seen a 1.23% gain, fluctuating between a high of 168,414 and a low of 157,678. However, the MACD histogram suggests that bearish momentum may be diminishing in the near term.

Technical analysis points to immediate support at 165,900. A breach below this level could lead to further declines towards 165,400 and 164,700. On the upside, resistance is anticipated around the 167,100 mark, followed by 167,800 and 168,700. Traders are advised to adopt a cautious approach and consider accumulating positions during periods of weakness.

The report was provided by AKD Securities Limited, offering insights into the technical outlook of the KSE-100 index.