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JSE Top 40 Index: Target Reached at 95,000 & Rejected From Same Level + Next Best Buy Re-Entry

  • Writer: Lester Davids
    Lester Davids
  • Sep 5
  • 1 min read

Research Notes 08 - 12 Sept > https://www.unum.capital/post/r0812sept

Trade Local & Global Financial Markets with Unum Capital.

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The chart below highlights our view to clients on 06 July, in which the 95000 level was marked as a target. This level was reached and has since also become a level at which the index was rejected. At current levels, the momentum reflects a slowdown in the medium term upward trend, with the index breaking below it's 8-day EMA as well as it's 21-day EMA. It should also be note that the short term candle structure has deteriorated, with the price trend reflecting this. Where is the next-best support range? Should the ultra short term bearish trend continued, the rising 21-week EMA (green sloping line) is both target and a potential buy re-entry range.


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Previous Post (06 July): JSE Top 40 Index


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  • Overall Bullish Trend: The short (7-day) and medium-term (14-day) trends are both positive ("Strong" and "Bullish"), indicating consistent upward price momentum.

  • Aggressive Buying Underway: The current market action is characterized by aggressive buying, suggesting traders are actively participating in the upward trend rather than waiting for dips.

  • Strength Across Timeframes: Buyers are in control across short, medium, and long-term perspectives, creating a cohesive bullish outlook.

  • Momentum is Key: The primary strategy shifts from "buy the dip" to joining the existing momentum, as buyers are demonstrating significant control.

  • Manage Risk at Highs: While the trend is strong, a failure to hold prior session highs remains the key risk, which could trigger a reversal or short-term selling pressure.

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Monthly Chart

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Lester Davids

Senior Investment Analyst: Unum Capital

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