Morning Call for Karachi Stock Exchange

Morning Call

for Tuesday, 16^th Feb, 2010

Khalid Saifuddin

Safely Invest

Ongoing Conflict between CJ and Presidency elevated the fear in small & daily traders

Once again the political crisis of the country made life miserable for the small investors and intraday traders. The past week bulls strived hard to gain the confidence in market, but unfortunately their confidence is strongly hit by current political development and media hype about the ongoing anarchy in the country.

From the beginning of the day market was under control of bears, initially low volumes noticed but later on around 9,690 some buying witnessed with shaky confidence. Feared bulls manage to sustain the 9,700 level, but still not confident to go long under prevailing selling pressure.

Now the last hope of the traders for market to trade above 9,708 all day on Tuesday with volumes, and this will also minimize the current bearish threat in market. If buyers manage the given level than market will be trading in a range of 9,700 and 9,955 for the following week, 9,871 will work as resistance for the market.

Trading below Monday’s low and closing negative will strengthen the bears for upcoming Bearish trend, from where market will follow the new track.

Banking sector along with the upcoming board meetings can play supportive role in market. If market unable to recover lost points before Wednesday, than it is recommended for traders to plan their exit strategy.

Key Levels

9837

9786

9746

9697

9657

9582

9520

Recommendations: The optimism about the economic growth and the expectation about the holding scrip are related to future development of the country’s political and administrative matters.

I recommend my leaders and administrative bodies to please concentrate on Poverty, Education, Health, Drinking Water, Power crisis, GDP, Unemployment, Foreign Investment and many more issues instead of running behind the power game

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