1. Page 1 of 2
TECHNICAL ANALYSIS: QSE INDEX AND KEY STOCKS TO CONSIDER
QSE Index: Short-Term – Upmove
The QSE Index gained for the second straight session and rose
around 157 points (1.15%). After a cautious start, the index moved
from strength to strength and cleared its resistances of the 55-day
moving average and 13,750.0. We believe the index has now set the
stage to extend its gains further toward 13,850.0. Meanwhile, both
the indicators are positively poised. Conversely, the index may find
support at the 13,750.0 and 13,700.0 levels.
Gulf International Services: Short-Term – Upmove
GISS jumped 4.42% and surpassed many important resistances of
QR122.50, QR124.10 and the 55-day moving average along with the
descending trendline, which had restricted its bullish move in the past.
Notably, volumes were also large on the rise, indicating optimism
among traders. We believe based on the recent price swing, the stock
may rally further toward QR125.50, followed by QR127.0. However,
any retreat below QR124.10 may indicate a false breakout.
Al Rayan Islamic Index: Short-Term – Upmove
The QERI Index ended the session in the green and extended its
gains by moving higher around 20 points (0.45%). The index
remained in upbeat mode and managed to nudge pass its important
resistance of 4,584.50. With the RSI in buy mode and the MACD
providing a bullish signal, the index may further continue its rally and
advance toward 4,639.0. On the flip side, 4,550.0 and 4,529.0 may
provide immediate support for the index.
United Development Co.: Short-Term – Pullback
UDCD has been experiencing a steady decline since penetrating
below the 21-day moving average. Moreover, the stock dipped below
its key support of QR26.45, indicating sustained weakness. We
believe the stock may continue to drift lower and test its immediate
support of QR26.10. However, UDCD may halt its pullback, if it
manages to reclaim QR26.45. Meanwhile, both the indicators are in
downtrend mode, showing no immediate trend reversal signs.
Industries Qatar: Short-Term – Upmove
IQCD gained 3.21% and cleared the important resistances of
QR191.50, QR193.50 and QR194.60 on the back of large volumes in
a single swoop. Moreover, the stock developed a bullish Marubozu
candlestick formation, indicating a likely continuation of this upmove.
Further, the RSI has shown a bullish divergence, indicating strength.
Traders may consider buying the stock at the current level for an
immediate target of QR197.70, with a stop loss of QR194.60.
Milaha: Short-Term – Upmove
QNNS breached the important resistances of QR98.30 and QR98.80
after feigning a failure in the past few attempts. Moreover, the stock
found support of the ascending trendline and ended in a sizable
bullish candlestick formation, indicating the possibility of a further rise.
With both the indicators providing bullish signals and spike in
volumes, the stock may proceed further ahead and test QR100.10.
However, any dip below QR98.80 may drag the stock down.

2. Contacts
Saugata Sarkar Abdullah Amin, CFA Shahan Keushgerian Sahbi Kasraoui Ahmed Al-Khoudary QNB Financial Services SPC
Head of Research Senior Research Analyst Senior Research Analyst Manager - HNWI Head of Sales Trading – Institutional Contact Center: (+974) 4476 6666
Tel: (+974) 4476 6534 Tel: (+974) 4476 6569 Tel: (+974) 4476 6509 Tel: (+974) 4476 6544 Tel: (+974) 4476 6548 PO Box 24025
saugata.sarkar@qnbfs.com.qa abdullah.amin@qnbfs.com.qa shahan.keushgerian@qnbfs.com.qa sahbi.alkasraoui@qnbfs.com.qa ahmed.alkhoudary@qnbfs.com.qa Doha, Qatar
DISCLAIMER: This publication has been prepared by QNB Financial Services SPC (“QNBFS”) a wholly-owned subsidiary of Qatar National Bank (“QNB”). QNBFS is regulated by the Qatar Financial Markets Authority and the Qatar Stock Exchange;
QNB is regulated by the Qatar Central Bank. This publication expresses the views and opinions of QNBFS at a given time only. It is not an offer, promotion or recommendation to buy or sell securities or other investments, nor is it intended to constitute
legal, tax, accounting, or financial advice. We therefore strongly advise potential investors to seek independent professional advice before making any investment decision. Although the information in this report has been obtained from sources that
QNBFS believes to be reliable, we have not independently verified such information and it may not be accurate or complete. While this publication has been prepared with the utmost degree of care by our analysts, QNBFS does not make any
representations or warranties as to the accuracy and completeness of the information it may contain, and declines any liability in that respect. QNBFS reserves the right to amend the views and opinions expressed in this publication at any time. It may
also express viewpoints or make investment decisions that differ significantly from, or even contradict, the views and opinions included in this report.
COPYRIGHT: No part of this document may be reproduced without the explicit written permission of QNBFS.
Page 2 of 2
*These stocks are today’s suggested ideas
Overall Methodology: The charts and descriptions on Page 1 provide an indicative view of the future direction of the equities mentioned. The table on page 2 has been provided to denote historical movements in certain stocks. The historical trend analysis uses 21- and 55- day SMAs for indicating short-term and long-term trends, respectively. Based on these SMAs, the historical direction of the trend is denoted as UP, DOWN or FLAT.
Selection of Key Stocks of the Day: Key stocks’ selection is based on our analysis of 19 members of the QSE Index (excludes QNBK QD). Analysis includes identifying trends (short-term as well as long-term), patterns and support/resistance levels.
Trend Direction: The methods used to determine trend direction are subjective in nature. We use 21-day SMA and 55-day SMA, absolute price movements, price movements relative to SMAs and accurately drawn trend lines and chart patterns to determine the short- and long-term trends.
Investment Horizon: The definition of short term and long term depends upon investors’ preferences and their investment objectives. As a rule of thumb, the time horizon for traders/short-term trend is 1-3 weeks while it is 1-3 months for investors/long-term trend.
Combining Technical and Fundamental Analysis: Investors can combine technical analysis (TA) with fundamental analysis (FA) to maximize their investment returns. While the “True Value” of stocks could be estimated by FA, the entry and exit timings could be fine tuned using technical analysis to benefit from short-term movements in stock prices.
Trading Tactics: The trend direction should be analyzed based on the time-horizon of your investments. In general, investors attempt selling close to resistance levels during a downtrend and attempt buying close to support levels during uptrend.
Definitions:
1> Simple Moving Average (SMA): A SMA is the average of the closing price of a security for a given period.
2> RSI (Relative Strength Index): A technical momentum indicator that ranges from 0 to 100 and compares the stock’s recent price movements by evaluating recent gains and losses. Stocks with RSI above 70 could be considered overbought and below 30 could be considered oversold. If the RSI falls below 70, it is a bearish signal. On the other hand, if the RSI rises above 30 it is considered bullish. We use a RSI of 14 days.
3> MACD (Moving Average Convergence Divergence): MACD denotes the relationship between two moving averages, which is used to spot changes in strength, direction, momentum and duration of a stock price trend. The MACD is calculated by subtracting the 26-day exponential moving average (EMA) from the 12-day EMA. A nine-day EMA of the MACD, called the signal line, is also plotted on top of the MACD, functioning as a trigger for buy/sell signals. The MACD line above the signal line provides a positive signal and vice versa. Name (Ticker) Last Close Trend Support Resistance
Short Term
Long Term
First
Second
First
Second Qatar Stock Exchange Index (QSE Index) 13,780.59 UP UP 13,753.36 13,700.00 13,847.11 13,909.87 Al Rayan Islamic Index (QERI Index) 4,584.69 UP DOWN 4,550.00 4,528.58 4,638.81 4,672.95 Banks and Financial Services
Banks and Masraf Al Rayan (MARK QD)
51.70
DOWN
DOWN
50.40
49.75
51.80
52.80 Commercial Bank of Qatar (CBQK QD) 74.40 UP UP 74.30 73.40 75.00 76.25
Doha Bank (DHBK QD)
59.00
UP
DOWN
58.00
57.20
59.20
60.50 Qatar Islamic Bank (QIBK QD) 112.00 FLAT DOWN 111.00 110.00 113.00 115.00
Qatar International Islamic Bank (QIIK QD)
87.40
UP
DOWN
87.30
86.10
88.00
89.00 Qatar Insurance (QATI QD) 97.80 FLAT FLAT 97.00 94.50 99.00 100.00 Consumer Goods and Services
Consumer Goods Medicare Group (MCGS QD)
126.10
FLAT
DOWN
124.75
121.50
126.50
128.80 Industrials
Industrials
Industries Qatar (IQCD QD)*
196.10
UP
UP
194.60
193.50
197.70
199.00 Qatar Electricity & Water Co. (QEWS QD) 188.90 UP UP 188.00 186.00 190.00 192.00
Gulf International Services (GISS QD)*
125.10
UP
UP
124.10
122.50
125.50
127.00 Qatari Investors Group (QIGD QD) 50.40 DOWN DOWN 49.75 48.90 51.00 52.20 Real Estate
Real Estate
Barwa Real Estate Co. (BRES QD)
43.85
UP
UP
43.80
43.20
45.00
45.60 United Development Co. (UDCD QD)* 26.40 DOWN DOWN 26.10 25.55 26.45 26.70
Ezdan Holding Group (ERES QD)
19.84
UP
UP
19.50
19.36
20.04
20.35 Mazaya Qatar Real Estate Development (MRDS QD) 24.15 UP FLAT 23.89 23.35 24.25 25.00 Telecom
Telecom
Ooredoo (ORDS QD)
123.00
DOWN
DOWN
122.90
120.50
123.70
124.90 Vodafone Qatar (VFQS QD) 21.37 UP UP 21.10 20.79 21.40 21.97 Transportation
Transportation
Nakilat (QGTS QD)
24.20
UP
FLAT
24.12
23.90
24.45
24.61 Milaha (QNNS QD)* 99.70 UP UP 98.80 98.30 100.10 102.00