JSE Top 40 Index (J200)
Updated: Sep 9
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On Friday, the index reclaimed the previous session's lows which was a move out of an ultra short term oversold level. As per my previous analysis, which highlighted the short term downward trending channel, the price has remained within this channel, capping any upside and halting the attempted bullish reversal. Analyzing the momentum trends, the indicators are currently in a negative alignment. Specifically, analyzing the MACD on multiple timeframes, the following is noted:
3-Day MACD has negative alignment, having shifted below the centre line.
4-Day MACD has negative alignment and is currently shifting below the centre line.
1-Week MACD has negative alignment and is currently shifting below the centre line.
2-Week MACD has negative alignment but remains ABOVE the centre line.
The 200-Day Simple Moving Average (SMA) is in an upward trend although it is gradually starting to lose upside momentum.
Relative to the 200-DAY SMA, the index is BELOW it. This is a negative development from the perspective of long term momentum.
Current Major Resistance: ~68721
Current Major Support: ~66371
Short Term Rating
Last: High Bearish Momentum / Approaching Oversold
Price vs 8/21-EMA
Price vs 50-EMA
Price vs 200-SMA
Analysis updated at 13h38 on Saturday 09 September 2023
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