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Sunday, October 18, 2020

KSE100 : Week 42-2020 Closing Notes

 KSE100 held on the upper boundary of its pivot zone as a support and shows a moderate bounce off from this level. Breaking down below the pivot may turn the tide bearish. However, index remains in see-saw state which points towards a corrective stance. Pivots are dodgy and difficult to analyze but sustaining a close above the pivot remains a positive sign. An uptrend will be higher probability if closing is sustain above the second resistance line of 40700 +/-200. 



KSE100 WoW average capitalization closed with a meager gain of +29.99 billion/PKR after several weeks of negative closing. The recovery is not significant enough to foment an  opinion yet. It could either be an early phase of bull returns or just a corrective bounce (divergence) caused by futures covering. Movement during the week 43-2020 shall be an important decision indicator. 

Events which may influence the equity markets are opening of new PIB auctions on 21-Oct, 30-Oct and MTB auction on 21-Oct. For full SBP auction calendar refer here.




5 comments:

  1. Mashaallah....Always fabulas...learning from u alot sir...thanku

    ReplyDelete
  2. Thanks Bhai for this Value able information...👍

    ReplyDelete
  3. Today kse 100 closed above 40900, does it show the first resistance broken shall act now as a support?

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    Replies
    1. Next resistance level is 41900 +/- 200. Levels are marked on the chart.

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