AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: The market experienced a volatile trading session, opening on a positive note but closing with a decline of 834 points at 162,103. The index reached an intraday high of 421 points and a low of 1,083 points before settling. Trading volumes increased by 22% from the previous session, indicating stronger market participation.
The KSE100 index ended the day 28.1% below the upper Bollinger Band, with the Bands themselves 37.70% narrower than usual. This suggests reduced volatility in the market. The index faced resistance from the declining trend line and closed near its 5-day simple moving average (SMA).
Momentum indicators showed mixed signals. The Relative Strength Index (RSI) stood at 52.30, slightly above the neutral mark, while the Moving Average Convergence Divergence (MACD) histogram remained above the signal line.
Technical analysis indicates immediate support at 161,800. A breach below this level could extend the decline toward 161,200 and 160,500. Resistance is expected around 163,000, with further resistance at 163,500 and 164,100.
Analysts recommend accumulating positions on weakness, with risks managed below the support zone.