JSE Top 40 Index: Have You Looked At It From This Angle?

Research Notes November 2025 > https://www.unum.capital/post/rnov2025

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Retreating from upper boundary of multi-year channel.

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Previous Post (06 October): JSE Top 40 Index: Running +45% & 4 Charts To Assess The Current Reward-to-Risk

(1) The index trades 19% above it's 200-day SMA. Recent peaks occurred between 17% and 19%.

(2) The index trades 41% above it's 200-week SMA. Furthest distance from the 200-week since April 2015.

(3) Monthly chart - trading outside of the upper boundary of a multi-year channel.

(4) Monthly Time Frame: 14-Month RSI at 81 (highest since 2008). This points to high demand however, also suggests the index nearing/at overbought conditions.

Note: The index is HIGHER by 45% from our note on Sunday 06 April (Volatility Equals Opportunity).

Lester Davids

Senior Investment Analyst: Unum Capital