PSX Daily Market Review 23 Nov. 2016

The Bench Mark KSE100 Index Opened at 42439.04, posted day high of 42748.40 and day low of 42439.04 during last trading session. The session suspended at 42631.58 points with net trading volume of 122.87 million shares. Daily trading volume of KSE100 listed companies increased by 22.38 million shares or 22.26% on DOD bases.
Foreign Investors remained in net selling position of 8.66 million shares and net value of Foreign Inflow dropped by 18.22 million US Dollars. Categorically Foreign Individuals, Corporates and Overseas Pakistanis remained in net selling position of 2.72, 2.95 and 2.99 million shares respectively. While on the other side, Local Individuals, Banks and Brokers remained in net buying position of 4.06, 4.61 and 3.07 million shares respectively but Local Companies and Mutual Funds remained in net selling position of 0.33 and 0.54 million shares respectively.
Foreign Investors have added 4.09 million shares to their portfolio on month till date bases but net Value of Foreign Inflow has dropped by 79.13 million US Dollars. This means that Foreigners are trying to square their positions from high net worth shares and they have added some volume figures in tier two or tier three shares, which is an alarming situation in current scenario.

Asian stocks bounced to one-week highs on Wednesday as investors tried to share in the exuberance of Wall Street record run, while high U.S. bond yields kept the dollar well underpinned. Australian main index led the action with a rise of 0.9 percent to a one-month top, helped by strength in bulk commodity prices. Chinese blue-chip CSI300 index advanced 0.6 percent to a near 11-month peak. Japanese Nikkei .N225 was closed for a holiday after enjoying a five-session winning streak that took it to the highest finish since January. MSCI broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS also added 0.6 percent, edging further away from four-month lows hit on Monday.
Prime Minister Nawaz Sharif is likely to announce an incentive package for five or six export-oriented sectors to the tune of Rs 65 -75 billion of which textile sector would be the top beneficiary. Homework on the package has been finalised by the confidantes of the Prime Minister and it is now lying with the Finance Minister Ishaq Dar, likely to be announced in the first or second week of December.
Polish state-run gas firm PGNiG said on Monday it has doubled its gas output in Pakistan to more than 0.5 million cubic metres a day after it launched production at a new deposit earlier this month.
The Bhikki power plant located in Sheikhupura started generating energy on trial basis, the government said on Tuesday. Water and Power Ministry in a statement has said that the Liquefied Natural Gas (LNG) based power plant is capable of generating electricity of upto 1200 megawatts.
The Sindh Assembly on Tuesday called for a fresh legislation to re-nationalise the K-Electric because of its poor services in the metropolis, saying that power supplier had been fleecing consumers with inflated bills. The house unanimously voted to opposition leader - Khawaja Izhar-ul-Hassan(MQM) asked for a resolution on a private members day to reject the K-Electric move seeking the Nepra approval for scaling up power tariffs for Karachi consumers.
BYCO,AKZO, SNGP along with Textile Sector and Pharma Sector are looking attractive on Intra-day and short term bases, they can lead the market in positive direction. On the other side, Cement Sector seems under pressure.

KSE100 Index is capped by a resistant trend line at 43567 on Daily Chart while a horizontal resistance is ahead at 43091 points, but right now it has completed its daily correction. The daily RSI and Stochastic are trying to generate a crossover for a short term pullback towards 43000 points. KSE100 Index has confirmed 42128 points as supportive region so as long as this level is maintained its recommended to initiate new buying in selected items with strict stop loss. For Current trading session, Swing trading strategy could be beneficial.