TECHNICAL ANALYSIS VIEW OF PAKISTAN STOCK MARKET

By (Misbah Maqbool)

July 27, 2020 (MLN):

KSE 100 WEEKLY CHART

 

KSE 100 DAILY CHART

Last Friday KSE 100 index closed up 29 points on DoD and 276 points on WoW basis to 37,607 level. Last week market has entered into short term downtrend which will be intact until market trades above 38,106 index level. Market’s shorter period moving average is above its longer period moving average. MACD signal line is trading above its 9 day exponential moving average.

STRATEGY: Sideways movement in market is expected here therefore profit booking is advised. New positions should be taken once index breaches its previous high of 38,106.

Given below please find technical analysis view and charts of key scrips:

 

KEY SCRIPS SHORT TERM TREND AND SUPPORT/RESISTANCE LEVEL
SymbolsClosingTrendSupport/ResistanceMA TrendMACD Trend
DGKC98.22DOWN107.74UPDOWN
GHNL98.84UP64.51UPUP
ISL61.62DOWN58UPUP
TRG38.28UP35.4UPUP
Support/Resistance value are mentioned in black and red respectively

 

DGKC

Last week DGKC has entered into short term down trend and it has resistance at Rs. 107.74 for near future. EMA cross is bullish right now but MACD cross has converted into short term bearish.

STRATEGY: Profit booking is advised. New buying position should develop once it trades above Rs. 107.74.

GHNL

GHNL is in uptrend and it has support at Rs. 64.51 for near future. EMA cross and MACD cross are providing positive trend indication.

STRATEGY: Buying is advised with initial Stop Loss of Rs. 64.51.

ISL

ISL has also entered into short term correction. Its EMA cross and MACD cross is showing positive trend. In near future its support level will be Rs. 58.00.

STRATEGY: Buying is advised with initial Stop Loss of Rs. 58.00.

TRG

TRG uptrend is still intact. Its stop loss level is at Rs. 35.40. Shorter period EMA is above its longer period EMA. MACD is also showing positive trend.

STRATEGY: Buying is advised with initial Stop Loss of Rs. 35.40.

 

“Misbah Maqbool is a MBA and CIM (Chartered Investment Manager). He has served over 20 years as Portfolio Manager in various Leading Financial Institutions namely National Bank of Pakistan, Pak Brunei Investment Company, Pak Oman Investment Company and Alfalah GHP Investment Management Limited.”

Disclaimer: The opinions in this article are the author’s and do not necessarily represent the views of Mettis Link News (MLN)

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Posted on: 2020-07-27T09:00:00