Current Price Action
Current Price: PKR 13.13 (down 0.91%)
The stock is trading near concerning technical levels after a significant decline from recent highs.
Key Technical Observations
Trend Structure
The stock experienced a strong uptrend from August through early November, rallying from around PKR 10.50 to a peak near PKR 16.00 (approximately 50% gain). However, the recent price action shows a sharp rejection from the resistance zone and a breakdown in trend.
Critical Support & Resistance Zones
Resistance Zone (Red): PKR 14.00-14.40
This area previously acted as consolidation support but has now flipped to resistance. The stock is struggling below this level, which is a bearish signal.
Current Support Zone (Blue): PKR 11.00-11.40
This represents the former breakout level from October. If this zone fails, the stock could see accelerated selling pressure.
Major Support Zone (Blue): PKR 8.00-8.20
A critical demand zone that provided strong support during the summer consolidation period.
Volume Analysis
Notice the volume spikes marked with "E" (likely earnings releases):
High volume accompanies both rallies and declines
Recent selling volume appears elevated, suggesting distribution
The latest decline shows sustained selling pressure
Technical Pattern
The chart displays a classic "parabolic rise and rejection" pattern. The sharp spike to PKR 16.00 followed by immediate reversal is concerning and often indicates exhaustion of buying momentum.
Trading Outlook
Bearish Scenario (Higher Probability):
Break below PKR 13.00 could trigger a move toward the PKR 11.00-11.40 support zone
Failure of that level opens the door to PKR 8.00-8.20
Bullish Scenario (Requires Confirmation):
A reclaim above PKR 14.00 with strong volume would invalidate the bearish structure
Would need to see consolidation and base-building rather than immediate recovery attempts
Risk/Reward Assessment
Current positioning suggests unfavorable risk/reward for long entries. The stock needs to establish a new base before attempting sustainable upside moves.
Strategy Considerations:
For traders: Wait for clear support hold at PKR 11.00-11.40 or reclaim of PKR 14.00
Momentum has shifted bearish in the short term
Any bounce attempts into the PKR 14.00 resistance zone could provide shorting opportunities
The technical picture suggests caution here, with downside risks outweighing immediate upside potential until the stock can stabilize and form a new accumulation pattern.
Current Price: PKR 13.13 (down 0.91%)
The stock is trading near concerning technical levels after a significant decline from recent highs.
Key Technical Observations
Trend Structure
The stock experienced a strong uptrend from August through early November, rallying from around PKR 10.50 to a peak near PKR 16.00 (approximately 50% gain). However, the recent price action shows a sharp rejection from the resistance zone and a breakdown in trend.
Critical Support & Resistance Zones
Resistance Zone (Red): PKR 14.00-14.40
This area previously acted as consolidation support but has now flipped to resistance. The stock is struggling below this level, which is a bearish signal.
Current Support Zone (Blue): PKR 11.00-11.40
This represents the former breakout level from October. If this zone fails, the stock could see accelerated selling pressure.
Major Support Zone (Blue): PKR 8.00-8.20
A critical demand zone that provided strong support during the summer consolidation period.
Volume Analysis
Notice the volume spikes marked with "E" (likely earnings releases):
High volume accompanies both rallies and declines
Recent selling volume appears elevated, suggesting distribution
The latest decline shows sustained selling pressure
Technical Pattern
The chart displays a classic "parabolic rise and rejection" pattern. The sharp spike to PKR 16.00 followed by immediate reversal is concerning and often indicates exhaustion of buying momentum.
Trading Outlook
Bearish Scenario (Higher Probability):
Break below PKR 13.00 could trigger a move toward the PKR 11.00-11.40 support zone
Failure of that level opens the door to PKR 8.00-8.20
Bullish Scenario (Requires Confirmation):
A reclaim above PKR 14.00 with strong volume would invalidate the bearish structure
Would need to see consolidation and base-building rather than immediate recovery attempts
Risk/Reward Assessment
Current positioning suggests unfavorable risk/reward for long entries. The stock needs to establish a new base before attempting sustainable upside moves.
Strategy Considerations:
For traders: Wait for clear support hold at PKR 11.00-11.40 or reclaim of PKR 14.00
Momentum has shifted bearish in the short term
Any bounce attempts into the PKR 14.00 resistance zone could provide shorting opportunities
The technical picture suggests caution here, with downside risks outweighing immediate upside potential until the stock can stabilize and form a new accumulation pattern.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.