JSE all-share trend remains up
But Dow vulnerable to one final drop
WE LOOK AT TWO of the most important charts as far as the current – volatile – situation on the JSE and world markets is concerned.
The first, for South African players, is the JSE all-share index, which places the recent market correction into perspective. The second chart is the Dow Jones industrial average, showing where expected support levels are. Both the SA and the US stock indices (represented here by the Dow) are expected to retest their early/mid-March lows before heading up again.
Therefore, look to re-enter the market after the next drop, which will present a low risk entry opportunity.
Please note: For more recommendations and charts by the author on shares, stock indices and commodities, please go to www. themarket.co.za.