5th Consecutive Selling Session in Karachi Stock Exchange

Morning Call for Wednesday, 27th Jan, 2010

Khalid Saifuddin
Safely Invest

5th Consecutive Selling Session in Karachi Stock Exchange
Weaker bulls striving hard to stop the dancing bears

The selling pressure continues in Karachi stock exchange with really low volumes, the 2 volume leaders FFBL, LOTPTA contributed the 41% of the total volume, and the other scrips were the spectator today.
The bearish is threat is elevating in traders, as the local traders along with the institutions are really worried of the current political situation in the country, the breathing expectation from Friends of Pakistan even not able to catch the interest of the traders. Good corporate results unable to catch the local interest.

Tomorrow we wish to expect some miracles, like opening above 9,693 may invite the local traders to open new positions. The bulls will see the first resistance around 9,720 and the 9,800 can be a limit. On the other hand 9,634 is the last hope for the Market to get out of ongoing pressure, breaking this level will extend the down slide up to 9,417.

Unfortunately the local and foreign institution still not interested for fresh buying, delay in leverage product is also an issue for sideliners.

Breaking News: World Bank supporting economy by 6 billion USD among this loan the 4 billion is a soft loan and the remaining loan is for budgetary support. We are still waiting on the closing statement of friends of Pakistan meeting.

Key Levels
9,867
9,800
9,720
9,634
9,562
9,487
9,417

9,800 become a high resisting area, once bulls manage to break this level will fill energy and we may see the new direction for the market.

I do not see any stable indication for intraday buyers but the profit taking, but I see amazing possibilities for those who prepared to reschedule their portfolios for ongoing quarter results.

For further assistance, precise key levels of any KSE Scrip you can contact our office @ 0213-432 2359 or 0345-276 8680 or write us @ safelyinvest@gmail.com