PSX Daily Market Review 04 July 2016

The Bench Mark KSE100 Opened at 37786.57 and posted day high 37994.75 while dropped back towards day low of +37730.31 and session suspended at 37783.54 points with net change of -3.03 points and net trading volume of 81.48 million shares. Daily trading volume of KSE100 listed companies dropped by 10.37 million shares or 11.29% on DOD bases. Market Capitalization of KSE100 and KSE30 Indices dropped by 160.83 and 135.40 million Rs or 0.01% and 0.01% respectively but Capitalization of KSE ALLSHR Index increased by 3.4 billion Rs or 0.05% on DOD bases.
Foreign Investors remain in net buying of 3.29 million shares and net value of Foreign Inflow increased by 3.56 million US Dollars. Categorically Foreign Individuals and Overseas Pakistanis remain in net selling of 2 and 38567 shares respectively but Foreign Corporates remain in net buying of 3.33 million shares. While on the other hand local individuals, Mutual Funds and Banks remain in net selling of 2.28, 0.56 and 12.71 million shares but local companies and brokers remain in net buying of 9.59 and 3.06 million shares respectively.

The Bench Mark KSE100 Index is moving in an upward price channel on daily chart and right now its moving back after getting support from rising/supportive trend line of said channel during last trading session, futher more it have created a daily moring shooting star on charts which can push it further upward but it have strong resistant regions around 38033 and 38141 points from its daily correction levels along with a horizontal resistance. In coming days PSX would be closed for EID holidays therefore its not recommended to initiate new buying at its floor is not recommended keeping in view political situitation of Pakistan.

KSE100 Index have completed fifth wave of its bullish Elliot Wave on weekly chart now market have started its correction or ABC formation which could drag index towards a correction of 61.8% of this bullish trend. A minimum correction towards 34696 is required on technical bases if this bullish momentum needs to be continued.