Bashed again, 9603.
July 3, 2006
There seem to be violent swings in the Karachi Stock Market at the moment. Every day it’s either 400 points up or down. Closing on the 200 dma was the trigger for the downside and the market could slide again down to 9,200 . OGDC closed below its 200 dma. Until 9,980 (the current 200 dma) breaks and holds, followed by 10,300 breaking there is no clear direction for this market at the moment.
Sooner or later it will assume an upward trend as the results are due at the end of the month. Best to stay with the market with low quantities as when the market does break out upwards, it won’t look back at these levels till all the major blue chip results are out.
Gas prices were increased by 9.95% w.e.f July 1st.
Market close : 9,603.71 — 385.70 points down.
