AKD Securities Limited — Trigger Shark

Karachi, March 27, 2015 (PPI-OT): Emotional Extremes

Short‐Term: Yesterday’s high volume candle reflects emotional extremes at deeply oversold daily readings. This indicates that the first leg of correction (wave A) has reached selling climax and a reversal is due. AKD Securities Limited expects market registering a relief rally towards 31,325 and 32,038 levels in wave B to retrace some portion of recent fall from 35,055 to 30,172 levels.

However, general theme would still remain bearish.

General Outlook: After marking the fifth intermediate degree top at Feb’15 high of 35,055 level, market continues weaken in the first impulsive corrective sequence where it has violated the Dec’14 low of 30,562 level, marked as A. AKD Securities Limited expects market to soon register a relief rally in B to retrace some portion of recent fall. After such an upwards adjustment AKD Securities Limited expects the market diving in second round of bearish spell to much deeper correction in wave C which can possibly push the index down towards 29,392 level, projected by mid of May’15. Guideline also indicates that this correction might extend towards the Aug’14 lows around 28,179 — 27,354 levels. Wait for a bottom!

13‐day Leaders: PSEL, MARI, NPL, FML, FATIMA, EFUG, NCPL, JLICL, SHEZ and SHFA

13‐day Laggards: BATA, AICL, NETSOL, AVN, AKBL, DAWH, PSMC, BOP, SHEL and PICT