Price hike of cement vows buyers to get into the cement stocks, the performance of overall companies were good today, OGDC, MCB, LUCK, DGKC, NBP, PSO, POL, PPL, AHSL, JSCL and ENGRO were hot picks. Volumes accelerated today when target buying witnessed in blue chip companies which is a good sign for near term future.
Future Outlook:
Market disregarded remaining pressures by adding 240 points to index, the current closing is enough to attract traders for long positions, last two sessions added 426 points, which is quite surprising for all those who were fear of CGT related issues, the credit goes to the targeted foreign buying, the local investors and funds were also not convinced of this bullish move, as they were found in selling. Volumes also rose today, and this will support market further if continues.
Market trailed its stop loss to 9,548 as breaking the 9,471 – 9,450 will again bring the bears back. The early birds may see the early resistance around 9,682 – 9,665, comfy zone for bulls is above 9,738.
Market will strive hard to sustain the level of 9,375 – 9,359 as this area is still crucial for market.
It is secure to off load position around the given resistance levels, to ensure your profit, because high volatile movement expected in market.
Medium term investor must wait until the aftermath of budget get the conclusive understanding.
Long term vision of Karachi Stock Exchange still stands positive.
My sincere advice for investors to please focus on future vision rather focusing on short term possibilities, the current index movement can only benefit the intraday traders.
That’s why we recommend TRADING ON LEVELS
Key Levels
9,969 – 9,951
9,891
9,826 – 9,813
9,765 – 9,755
9,682 – 9,665
9,619
9,548
9,471 – 9,450
9,375 – 9,359
9,322
9,289
Source: NCCPL
Foreign Investors Activities
17th June, 2010
Net Buy USD $ 7,386,400
Disclaimer: This commentary, news or key levels are not a recommendation to buy or sell, but rather a guideline to interpret the specified indicators. This information should only be used by investors who are aware of the risk inherent in securities trading. We accept no liability whatsoever for any loss arising from any use of these levels. However the author DOES NOT GUARANTEES the accuracy of information provided on this report and is NOT RESPONSIBLE FOR ANY ERRORS AND/OR OMISSIONS.
