PSX Daily Market Review 18 May 2016

The Bench Mark KSE100 Index is getting resistance from resistant trend line of its bullish trend channel along with a strong horizontal resistant region at its history high. Last trading session closed with a mixed trend and have shown that investors are not confident enough to initiate new trades which will force market to initiate a new trend on either side. Crude Oil prices are inching up on both NYMEX and The ICE plateforms. WTI Crude Oil closed 0.66 $/bbl up on NYMEX while Brent also closed 0.29 $/bbl up on The ICE and these factors would try to push index in positive zone on Intraday bases as major stack holder scripts of KSE100 are from oil and banking sector but market seems in bearish mode on short term bases.  For today market have supportive regions around 35972 and 35765 while resistant regions stand around 36471 and 36647 points. If Market will become able to close above 36647 then next target would 37940 points. But as long as 36647 is sustained as a resistance a correction can be witnessed in Market. Right now its time to be cautious while initiating new trades at PSX platform as breakage of either side will call for a new trend. For current trading session market seems in bearish direction but on intra-day bases a slight upward spike can be witnessed durring session.

On weekly bases KSE100 Index have fulfilled its 100% correction and right now its getting resistance from a horizontal resistant region along with resistant trend line of its bullish trend channel. Since last 6000 points market have not corrected its move and right now a serious correction could be witnessed in comming weeks. On Weekly bases a correction towards 35606 and 34934 points regions are required for a futher bullish run.

Major Indices around the Globe remain in negative zone during trading session of 17th May 2016. FTSE(UK100) closed at 6138 points with net change of -45 points or -0.73%, Dow Jones and S&P500 closed with net change of -161 and -17.4 points or 0.91% and 0.84% on DOD bases. DAX30 also closed with net change of -159 points or -1.59% but KSE100 index have shown a reverse action and it closed with net change of 11.75 points.

The Bench Mark KSE100 Index opened at 36125.37 and posted high of 36390.41 while dropped back towards day low of 36100.02 and session suspended at 36137.12 points with net change of 11.75 points and net trading volume of 161.73 million shares. Daily trading volume of KSE100 listed companies increased by 82.29 million shares or 103.58% on DOD bases. Market Capitalization of KSE100 and ALLSHR Indices increased by 592.88 (0.31%) and 6173.85(0.08%) million Rs while KSE30 capitaliztion dropped by 835.52(0.06%) million Rs.
Foreign Investors remain in net selling of 6.9 million shares and net value of Foreign inflow dropped by 3.3 million US Dollars. Categorically Foreign Individuals and Overseas Pakistanis remain in net buying of 99921 shares and 2.81 million shares respectively but Foreign Corporates reamin in net selling of 9.81 million shares. While on the other hand Foreign Individuals and Mutual Funds remain in buying of 13.94 and 0.95 million shares but Local Companies, Banks and Brokers remain in net selling of 1.44, 4.32 and 2.97 million shares respectively.
FML, OGDC and PPL have tried to push KSE100 Index in positive zone by 31.80, 26.44 and 21.69 points with net price change of 9.02, 2.19 and 2.41 Rs/shares respectively while HUBC, LUCK and TRG have tried to drag Index in negative zone by -34.20, -17.35 and 10.41 points with net price change of -2.43, -7.14 and -1.20 Rs/share respectively.