PSX Daily Market Review 30 May 2016

The Bench Mark KSE100 Index opened at 36697.26 and day high remain same as opening but dropped back towards day low of 36183.24 points during last trading session while session suspended at 36234.69 points with net change of -459.57 points and net trading volume of 108.12 million shares. Daily trading volume of KSE100 listed companies increased by 6.37 million shares or 6.26% on DOD bases. Market Capitalization of KSE100, ALLSHR and KSE30 Indices dropped by 26.11. 82.06 and 20.25 billion Rs or -1.33%, -1.09%, -1.55% respectively on DOD bases.
Foreign Investors remain in net selling of 6.02 million shares and net value of foreign inflow increased by 4.94 million US Dollars. Categorically Foreign Individuals and corporates remain in net selling of 35260 shares and 6.68 million shares but Overseas Pakistanis remain in net buying of 0.7 million shares. While on the other hand Local Individuals, Companies, Mutual Funds,and Brokers remain in net selling of 15.2, 0.56, 9.66 and 1.19 million shares respectively but Banks remain in net buying of 26.61 million shares.
FML, MLCF and KOHC remain in top three Index movers and they have tried to push KSE100 Index in positive zone by 29.00, 13.42 and 10.23 points with net price change of 8.23. 3.02 and 11.80 Rs/share respectively while on the other hand MCB, HBL and LUCK remain in top three Index shakers and they have dragged Index in negative zone by -62.90, -62.38 and -36.45 points with net price change of -7.55, -5.05 and -15.06 Rs/ share respectively.

The Bench mark KSE100 index have penetrated two major resistant levels of 36471.68 and 36647 points during previous trading sessions and now it have resistaces ahead at 36890 and 37000 points while supportive regions stand around 36471.68 and 36126 points for current trading session. Its not becoming able to close above or penetrate its major resistance which falls on resistant trend line of its bullish trend channel. Penetration of that line will all for 37972 points region which falls on resistant trend line of its long term bullish tren channel. where it will face a major resistance from its weekly Elliot Wave and that level would push index back into negative zone.

KSE100 Index is about to complete fifth wave of its bullish Elliot Wave on weekly chart, on technical bases that fifth wave would have to be completed before 37972, on completion of that wave market would start a correction or ABC formation which could drag index towards a correction of 61.8% of this bullish trend. Before completion of this fifth or last wave a slight correction can be expected as 3rd and 5th secondary waves are still pending in this primary wave.