KSE100 in loose momentum

May 25, 2023

The benchmark KSE-100 plummeted 96 pts. with traded volume 43.8 million less than previous volume bar, RSI noted 47 Pts.
On hourly chart bourse opened with neutral Note post high of (41,295) and test a low of (41,098) finally closed on (41,098)
moving ahead resistances would be 41,310, 41,515 & 41,790 on flip side supports are 40,978, 40,805 & 40,556.

On daily basis, a narrow spread down bar close off the low with descending volume relative to the volume histogram suggesting
lack of buying interest by market participants a sign of weakness dried volumes near low an indication of supply test, Bourse
witness dull session with dried volume heading towards recent low (41,041) saturation below 50-DSMA(40,978) with
ascending volume will lead the price move towards (40,556) & (40,225) on flip side consolidation above 50-DSMA will push
the price towards 200-DSMA(41,364) followed by (41,515) & (41,790),

Over all price structure developing a corrective pattern & moving within the waves “c” of the pattern aimed to develop regular flat, cautious stance recommended, adopt sell on strength strategy with strict stop loss above (42,110) on closing basis, RSI moving between the (40 to 50) neutral zone close below 50 Level bears likely to control price move below 40 Level to negate such scenario bulls require penetration above 60 Level, Individual stocks perform according to their technical levels & sectoral behavior.

On weekly chart an average spread down bar close off the low with an average volume suggesting supply overcoming
demand having neutral impact over price move moving forward price consolidating above 200-WEMA(41,274) is positive sign
for bulls current week trading range could be (40,650 to 42,390).

Support Levels: 40,978, 40,805, 40,556, 40,225, 40,035, 39,800, 39,565, 39,260, 39,075, 38,845, 38,655
Resistance Levels: 41,310, 41,515, 41,790, 41,965, 42,195, 42,315, 42,567, 42,750, 42,945, 43,120, 43,365