KASB Securities Limited and Economics Research – The Keystone – Equities

Karachi, March 18, 2015 (PPI-OT): KSE-100: Support held; bounce could be seen till 20DMA

The index slid below its support zone of 32,250-32,400 but then managed to bounce back from that area and gave a closing above that level, suggesting that it is still holding on to its support.

Both the trend line resistance and 20DMA are currently at 33,300. Since the index has held its support, there is an increased probability that the index could target 33,300.

However, a closing below 32,100 could drag the index further down towards 31,000 which is its 200DMA.

It is recommended to trade on an intraday basis with risk defined below 32,100.

First support 32,250 points, second support 32,100 points;

First resistance 32,700 points, second resistance 32,900 points

Stock            Strategy            Target        Stop loss
ENGRO          Buy  at   278            290            269
FFBL           Buy  at    51          53.20             50
UBL            Buy  at   161            173  Day  close  below  156
OGDC           Buy  at   196            205            192
PPL            Buy  at   158            180            154
PAEL           Buy  at 52.50          57.50             50
FFC            Buy  at   132            142            129
POL            Buy  at   345            380            338
PSO            Buy  at   375            445            370
Source:  KASB  Technical  Research