Karachi: The Pakistan stock market faced a sharp decline as the KSE-100 index plunged by 3,546 points, closing at 111,327. This downturn was marked by increased trading volume, rising to 491 million shares from the previous session's 410 million. The index's fall below the 100-day moving average indicates further downside risks.

The market's movement suggests that a drop below 110,632 could lead to further declines, potentially reaching 110,104, and possibly extending to 107,953. Resistance is expected between 112,000 and 113,385, with additional resistance at 114,100, aligned with the 100-day moving average. The Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) indicators both point towards a bearish trend, prompting a cautious approach at current levels.

Support and resistance levels are identified at 109,950 and 113,385, respectively. In terms of specific stocks, Sui Northern Gas Pipelines Limited (SNGP) is experiencing consolidation below its recent peak. The recommended strategy for SNGP is to "buy on dips," with targets set at Rs128.50 and Rs134.75, and a stop-loss at Rs119.01.

Meanwhile, United Bank Limited (UBL) has rebounded from its key average support. The advised strategy is also to "buy on dips," with target prices at Rs486.07 and Rs504.01, and a stop-loss at Rs453.34.

This analysis is provided by JS Global, a key player in market research and advisory.