KARACHI, Jan 14: Stocks on Wednesday maintained their upward drive as investors were not inclined to take even a technical breather aided by positive developments both on the corporate and financial fronts.

A technical correction is now, however, due as the market has risen sharply higher in straight sessions during the last about one week and is in an slightly overbought position.

The market, however, witnessed a major shift in investor perceptions about the future price outlook as most of them opted for second-liners having potential of capital appreciation rather than the high dividend yielding stocks.

The KSE 100-share index settled firmly above the 4,600 level and finished with a fresh rise of 12.27 points at 4,619.78 after having touched at one stage the day's peak level of 4,641.

Its highly erratic movements are attributed to technical adjustments in the process of new portfolio building but as far as its inherent strength is concerned it is quite strong.

Market capital also maintained its steady rise in line with the index and rose by another Rs2.561bn to Rs988.918bn as compared to Rs986.357bn a day earlier.

"Stocks are inching up confidently to new higher levels after consolidating their initial gains," says a leading analyst adding "that is good strategy to keep the market in a bullish mood."

Some others said the market could pass through a technical correction being in an overbougth position but ruled out the possibility of any major change in the current trading pattern.

All the basic fundamentals are bullish and the market is expected to respond to them after each correction the very next day as everyone is ready to ride the bandwagon, they added.

Apart from economic recovery, improving relations with India, positive news from the privatization front could keep investors in a good mood in the sessions to come.

The Privatization Commission plans to sell a dozen state-owned units including United Bank, Allied Bank, gas companies, KESC and Pakistan Petroleum during the current year, which will keep investors in an upbeat mood despite delay in the sell-off of the PSO.

Parke-Davis, which has been under pressure for the last couple of sessions came in for active support at the lower levels and recovered Rs10 followed by 6th ICP, Orix Leasing, New Jubilee Insurance, Dewan Motors, Indus Motors, Pak Elektron, General Tyre, Exide Pakistan, Gatron Industries, Janana Demalucho and Mehmood Textiles and Nestle MilkPak, which posted gains ranging from Rs2.25 to Rs7.45.

Losers were led by Wyeth Pakistan and Shell Pakistan, which shed in part their recent gains on profit-selling, falling by Rs15 to Rs15.40.

Other leading losers were led by energy sector under the lead of Attock Refinery, PSO, National Refinery, Pakistan Oilfield followed by Jahangir Siddiqui Bank, Dawood Cotton, Kohat Cement, Dawood Hercules, Ferozsons Lab, HinoPak Motors and International Industries, off Rs2.15 to Rs4.

Trading volume rose to 294m shares from the previous 192m shares as gainers maintained a fair lead over the losers at 208 to 164, with 38 shares holding on to the last levels.

Dewan Motors topped the list of most actives on reports of higher earning, up Rs2.25 at Rs36.75 on 51m shares followed by Lucky Cement, firm by 25 paisa at Rs26.50 on 24m shares, Pakistan PTA, higher by Rs1.25 at Rs14.75 on 20m shares, Fauji Cement, easy five paisa at Rs11.15 on 17m shares and National Bank, higher by 70 paisa at Rs54.90 on 16m shares.

Other actives were led by Sui Southern Gas, up 45 paisa on 16m shares, Nishat Mills, higher by Rs1.15 also on 16m shares, Dewan Salman, firm by 20 paisa on 10m shares, KESC, up 30 paisa also on 10m shares and Engro Chemical, higher by 20 paisa on 9m shares.

FORWARD COUNTER: Both newly listed shares, Pakistan Capital Market Fund and OGDC came in for renewed selling and fell by 15 and 40 paisa at Rs12.10 and 52.90 on 19m and 17m shares respectively.