Morning Market Brief 20th Aug . 2021

The Benchmark KSE100 index had continued its pull back during last trading session and completed 61% correction of its last bearish rally on hourly chart. As of now it's being capped by a strong horizontal resistant region along with resistant trend line of its descending price channel on hourly chart inside its daily bearish price channel, therefore it's recommended to stay cautious and post trailing stop loss on existing long positions. A daily bullish engulfing pattern have taken place on daily chart but it needs confirmation by closing above 47,500pts to show its impact. Meanwhile hourly momentum indicators are ready for bearish crossovers therefore it's expected that index may face some serious pressure on intraday basis, initially index would face resistance between 47,350pts-47,500pts but breakout above this region would call for 47,730pts. While on flip side index would try to establish ground above 47,065pts-46,900pts region initially and breakout below this region would push index towards 46,660pts.

 

SBP approach to curb inflation through high markup not effective: PIAF

The Pakistan Industrial & Traders Association Front Chairman Mian Nauman Kabir has condemned the SBP approach for curbing inflation through high markup, as major borrower of the banks was the government and not the private sector. The government was borrowing heavily at the cost of the growth of private sector, which was losing viability fast due to high financial cost.In a joint statement with vice chairman Javed Siddiqi, Mian Nauman Kabir asked the SBP governor to fulfill his commitment of maintaining accommodative monetary stance in the near and long-term to support the rare recovery amid uncertain Covid-19 challenges.Read More...