PSX Daily Market Review 07 Dec. 2016

The Bench Mark KSE100 Index Opened at 43739.97, posted day high of 44236.89 and day low of 43739.97 during last trading session. The session suspended at 44199.40 with net change of 459.43 points and net trading volume of 189.58 million shares. Daily trading volume of KSE100 listed companies increased by 60.75 million shares or 47.16% on DOD bases.
Foreign Investors remained in net buying position of 2.84 million shares but net value of Foreign Inflow dropped by 13.14 million US Dollars. Categorically Foreign Individuals, Corporate and Overseas Pakistani investors remained in net buying of 1.8, 1.26 and 1.58 million shares respectively. While on ther other side, Local Individuals, Mutual Funds and Banks remained in net buying position of 1.56, 11.61 and 5.53 million shares respectively but Local Companies and Banks remained in net selling position of 7.27 and 5.46 million shares respectively.

Asian stocks posted their biggest rise in two weeks on Tuesday and the euro steadied as investors judged the selloff after Italian referendum was overdone, with robust U.S. economic data also helping sentiment. MSCI broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS bounced 0.8 percent, its biggest daily rise since Nov. 22, breaking two days of falls. Korea .KS11 climbed 1.2 percent while Japan .N225 rose 0.8 percent. Global risk sentiment roared back after falling prey to the initial Renzi fallout and whatever negatives Italy creates for the eurozone, yesterday was not the time for a euro implosion, said Stephen Innes, senior trader at online FX platform, OANDA. Wall Street rose on Monday, with the Dow Jones industrials setting fresh record highs following a services sector report that showed further strength in the domestic economy.
German Ambassador to Pakistan Ina Lepel said that Germany has always considered Pakistan as its important ally in South Asia and would boost cooperation in Energy Sector of the country. She visited 500 kV Grid Station Nokhar near Gujranwala, a project of National Transmission and Despatch Company Limited (NTDC), completed earlier with funding of German Bank. She was flanked with First Secretary Sabastian Ernest and KfW team comprising of Dr Flank Albert, Wolfgang Moellers and Dr Parvaiz Naim.
The Competition Commission of Pakistan (CCP) has imposed a penalty of Rs 150 million on Pakistan State Oil (PSO) for allegedly running a deceptive marketing campaign for its products, Premier XL petrol and Green Plus diesel in violation of Section 10 of the Competition Act, 2010. The CCP bench that passed the order comprised the Chairperson Vadiyya Khalil and Members Dr Shahzad Ansar and Ikram Ul Haque Qureshi.
M/s Shanghai Electric Power Tuesday shared a $9 billion investment plan with the government of Pakistan after months of resistance. The business plan was unveiled at a high-level meeting of the committee constituted by the Cabinet Committee on Energy (CCE) for discussion on JE transaction, while Minister for Water and Power Khawaja Asif presided over the meeting.
Pakistan Cotton Ginners Association (PCGA) has urged upon the Government to grant a relief and bailout package to cotton growers and convince them to bring maximum area under cotton crop to make Pakistan self-sufficient in cotton and to save more than Rs 30 to 40 billion being spent on the import of three million cotton bales.
Overall Banking and Fertiliser Sector can lead market in positive direction.

The Bench Mark KSE100 Index is capped by a resistant trend line on daily and Intraday chart on its double top which is a very strong indication for a pullback as Intraday Stochastic also have created a crossover which can push KSE100 index back towards 43155 and further more. But a postive hope on technical side is still there as on daily chart KSE100 index has generated a bullish crossover along with a crossover of MAORSI and these both can push index upward in coming days.