South Africa 40 Cash Index moves to consolidation within long term uptrend
The South Africa 40 Cash Index is expected to adjust for a dividend in the underlying currently estimated at 18.7 points
South Africa 40 Cash Index
The South Africa 40 Cash Index has both failed to reach the upside target and stop level guided in our previous note, but instead continued to consolidate in the near term.
The long term trend remains up for the index and long positions remain favoured in lieu. Traders who are already long might continue to use a close below the 72185 level as a stop loss consideration. Traders looking for new long positions might prefer to wait for a new bullish price reversal above the 72185 level for long entry. The recent high at 73880 provides a revised initial upside resistance target. Should this level be broken 74420 and 75350 become further upside resistance targets from the move.
Cash adjustment expected
The South Africa 40 Cash Index is expected to adjust for a dividend in the underlying currently estimated at 18.7 points on the 2nd of July 2024.
South Africa 40 Cash Index (previous)
The South Africa 40 Cash Index traded through the 74080 resistance target reaching a high of 74420 before undergoing a minor retracement from overbought territory.
The retracement looks to have ended with the bullish price reversal circled blue. Swing traders might now consider new long positions in line with the longer term uptrend. 74420 and 75350 become further upside resistance targets from the move. A close below the 72185 support level is used as a stop or failure level for the bullish suggestion.
Cash adjustment expected
The South Africa 40 Cash Index is expected to adjust for a dividend in the underlying currently estimated at 58.4 points on the 25th of June 2024.
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