PSX Daily Market Review - 25th June 2019

Trading volume at PSX floor dropped by 33.72 million shares or 20.69% on DoD basis, whereas the benchmark KSE100 index opened at 35,106.58, posted a day high of 35,207.59 and a day low of 34,995.91 points during last trading session while session suspended at 35,125.25 with net change of 129.34 points and net trading volume of 81.67 million shares. Daily trading volume of KSE100 listed companies dropped by 10.34 million shares or 11.24% on DoD basis.
Foreign Investors remained in net buying positions of 2.14 million shares but net value of Foreign Inflow increased by 0.80 million US Dollars. Categorically Foreign Individuals, Foreign Corporate and Overseas Pakistani investors remained in net buying positions of 0.02, 0.75 and 1.38 million shares. While on the other side Local Individuals, Local Companies, Mutual Fund and Brokers remained in net buying positions of 5.08, 0.06, 3.52 and 2.93 million shares respectively but Banks, NBFCs and Insurance Companies remained in net buying positions of 8.17, 0.05 and 1.10 million shares.

Stocks suffer trade jitters, dollar braced for more Fed talk
Asian shares were hamstrung by trade worries Tuesday as expectations of more dovish talk from the Federal Reserve pushed down Treasury yields and the dollar, while propelling gold prices to six-year peaks. Investors are waiting anxiously to see if anything comes of Sino-U.S. trade talks later this week, though sentiment was not helped by reports U.S. President Donald Trump would be content with “any outcome”. Trump is slated to meet one-on-one with at least eight world leaders at the G20 summit in Osaka, including China’s President Xi Jinping and Russian President Vladimir Putin. Chinese investors seemed none too hopeful as Shanghai blue chips slipped 1.8%. That led MSCI’s broadest index of Asia-Pacific shares outside Japan down 0.4%. Japan’s Nikkei dipped 0.2%, while E-Mini futures for the S&P 500 edged down 0.18%.
FBR to revert advance FED on tobacco to Rs10 from Rs300
Federal Board of Revenue will revert the advance Federal Excise Duty on tobacco from Rs 300 to Rs 10, National Assembly Special Committee on Agricultural Products was told on Monday. The chairman Federal Board of Revenue told the meeting that the decision has been taken on the recommendations of committee. He said the State Minister for Revenue Hamamd Azhar agreed to allocate Rs.1 billion for agriculture research in the current budget. The members recommended that the regulatory import duty on cotton import and minimum support price for cotton should be enforced in letter and spirit to enable the farmers to receive international parity price.
Eighteen initiates multi-million dollar deal with DMZ holdings
Eighteen, a project by Elite Estates Private Limited, signed a deal with DMZ Holdings, a UAE and Turkey-based financial investment conglomerate to purchase and market high-end luxury units. The deal was signed between Tarek Hamdy, CEO Eighteen and Tariq Masud, Chairman DMZ, at the Eighteen Head Office in Islamabad. Eighteen is an exclusive, joint real estate venture of Ora Developers, Saif Group and Kohistan Builder (KBD) of Companies located in the Eighteen District of the twin cities on main Kashmir Highway, 10 minutes away from new Islamabad Airport.
PM Imran forms body to ease business registration
Prime Minister Imran Khan on Monday approved the constitution of a steering committee on Pakistan Regulatory Modernisation Initiative (PRMI) to help devise a regulatory framework for simplifying the process of business registration. The government said that the high-powered body will support the business community to start new ventures and attract investments by improving the ‘ease of doing business’ ranking of the country. Among 190 economies, Pakistan ranks at 136, according to the World Bank report on ease of doing business. The steering committee will be jointly headed by Adviser to the Prime Minister on Establishment Shahzad Arbab and Adviser to the Prime Minister on Commerce Abdul Razaq Dawood.
Pakistan to get $3bn in deposits, direct investments from Qatar
Qatar is making $3 billion dollars worth of new investments in Pakistan, in the form of deposits and direct investments, said Special Assistant to Prime Minister on Information and Broadcasting Dr Firdous Ashiq Awan on Monday. The economic partnership between Qatar and Pakistan will reach $9 billion, Qatar News Agency quoted foreign minister Sheikh Mohammed bin Abdulrahman Al Thani as saying. "The Qatari-Pakistani economic partnership will amount to $9 billion. Qatar affirms its aspiration for further development in the relations between the two countries at all political, economic, sports and cultural levels," said the foreign minister. The announcement comes a day after Qatar Emir Sheikh Tamim bin Hamad Al Thani wrapped up his visit to Pakistan during which he held a one-on-one meeting with Prime Minister Imran Khan. Delegation-level talks were also held between the two sides.

The Benchmark KSE100 index have not succeed in maintaining above 35,000 points and have dropped down towards its initial supportive region of 34,400 points where it would try to find support from a horizontal supportive region would be penetrated also in downward direction then index can take a dip towards 33,900 points. Index have generated a cheat pattern during last trading session in response of a morning shooting star but daily and hourly momentum indicators are still in bullish mode because hourly stochastic and MAORSI both have generated bullish crossovers and these would try to push index upward. It's recommended to stay cautious because index is trying to maintain 50% correction of its last bullish rally since last week and if it would succeed in penetration below 34,400 points then sentiment would be changed on short term basis and bears would try to push index towards 34,000 and 33,760 points. While on flipside now index would face difficulty in penetration above 35,000 and 35,500 points as these both regions would react as strong resistances.
For current trading session PSO, ATRL, DGKC, MLCF, ISL and PAEL seems very attractive for buying because these scripts have closed near their strong supportive regions and long positions with strict stop loss could be beneficial in these scripts.