The short session at KSE on Friday failed to provide any support to the share market where index recorded range-bound movement under low turnover. The KSE-100 index rose 5.45 points, or 0.10 percent, to 5458.32 as compared with 5452.87 of Thursday. The volume fell to 117 million shares as against 276 million shares.
The shortest session of the trading week forced the weak holders to offload their holdings. Although the main stocks and index base items--PTCL and OGDC--invited buying on dips, across the board offloading and low volumes gave a dusty look and the strategy led to a low of 5444, meaning minus eight points.
Punters-led buying in main stocks towards the end pulled the index from undergoing any major adjustment, thereby leading to a consolidated closing, said Hasnain Asghar from Aziz Fidahusein. Although the index managed a closing above support above 5450-5457, the shifting from October 'forward' to November 'forward' might force the index to correct while support will come around 5425-5433.
The quarterly accounts of the main stocks, expected next week, will dominate the proceedings. It is, therefore, recommended to concentrate on leading stocks for trading and placements. Positive development from current levels is awaited for the index to breach the psychological 5500.
Azhar Javaid, research analyst from WE said that PTCL and Hubco came under pressure as weak holders squared their positions. Initial selling in OGDC further reinforced this trend, but low prices attracted investors to reverse the trend.
The market remained sideways and is expected to remain range-bound with some results-related rallies in selected scrips.
Aadil Ehtesham from Multiline Securities said that selling pressure in banking, cement, oil and gas stocks pushed the market into the negative territory. The market's sluggishness came on the back of high badla volume and investment whereas National Assembly session for vote of no-trust against Speaker also dogged indecision in the capital market.
Low turnover owing to a handful of earning reports kept most buyers away particularly as more earnings reports were awaited by the market after the close. "We are of the view that the market is seemingly gearing up for a rebound which could last more than a day", he said.
Cyra Patricia from Live Securities said that buying staged in banking scrips such as MCB and Bank Alfalah because soon they would announce their financial results, while ICI managed to uplift depressed sentiment backed by an EPS of Rs 17.9 Attock Refinery's loss of Rs 3.25 was the result of clear profit-taking despite meeting market expectations for an EPS of Rs 9.7.
OGDC rose 20 paisa to Rs 66.35 on a volume of 20.3 million shares; PTCL lost 15 paisa to Rs 40.90 on turnover of 12.35 million shares; Fauji Fertiliser bin Qasim fell five paisa to Rs 20.80 on trading of 6.909 million shares; PSO moved up to Rs 263.55 from Rs 262.50 on transactions of 5.564 million shares; and Bank Alfalah closed at Rs 45.85, higher by 35 paisa, on business of 5.539 million shares.