JS Securities Limited - Pakistan Market: Technical Outlook.
Karachi -- August 23, 2019 (PPI-OT)
Improving volumes; a positive sign
The KSE-100 index witnessed another positive session to close at 31,884 up 912 points. Volumes improved to 262mn shares from 135mn shares traded previously. The index is expected to re-test resistance at the 30-DMA where a break above will lead to further gains towards the 50-DMA at 32,983, followed by 33,355. However, any downside will find support in the range of 31,265-31,590. The RSI has improved and the MACD has generated a Buy signal, supporting a positive view. Investors are recommended to view any downside as an opportunity to 'Buy', keeping stoploss below 31,267. The support and resistance are at 31,462 and 32,181, respectively.
UBL: Upside to continue
Strategy: 'Buy on dips' - targeting Rs141.28 and Rs143.03; stoploss at Rs133.00.
PPL: Upside likely
Strategy: 'Buy on dips' - targeting Rs130.55 and Rs138.96; stoploss at Rs118.99.