KSE-100 – Weekly Outlook

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KSE-100 – Weekly OutlookKSE 100 IndexPSX_DLY:KSE100JustTechnicalsTaking lead from our previous analysis, the index continues to behave in line with expectations, maintaining its broader bullish structure while undergoing a time-based consolidation phase. The current price action clearly indicates that the market is range-bound and consolidating, which, in our view, is a healthy sign. This phase is better interpreted as accumulation rather than distribution, supported by: Volume behavior Time-based correction Higher time frame (weekly & monthly) bullish structure This suggests that the market is gathering the required fuel for the next aggressive bullish run. Near-Term Outlook For the coming week, a slightly bearish or weak tone may be observed. This could be driven by: Profit-taking ahead of Eid holidays Month-end positioning and book balancing Such weakness, if seen, should not be mistaken for trend reversal but rather as a natural part of the ongoing consolidation process. Bigger Picture If the market continues to remain range-bound for a few more weeks, it would further strengthen the base and increase the probability of a strong and sustained rally ahead. In our view, this ongoing consolidation may ultimately lead to a major bullish expansion, with long-term potential to surpass the 240k index level. Strategy Treat current phase as accumulation zone Avoid reacting to short-term volatility Focus on selective buying of quality stocks Stay patient for larger trend to unfold Stance: ➡️ Bullish in higher time frame ➡️ Short-term consolidation before next aggressive rally