Treat All Share with caution
And euro likely to rally against the US dollar
TURMOIL ON international markets has led to a sharp sell-off on the JSE. Is that a continuation of the prior bear market or a correction in a (current) bull market? We show a chart of the JSE All Share Index in attempting to answer that question. My view is the latter: ie, a correction in the current bull market. Nevertheless, there’s still significant downside potential over the short term. We also look at a chart of the US dollar/euro that – after many months of falling – is nearing a multi-year support level. Please note: For more recommendations and charts by the author on shares, stock indices and commodities please go to www.themarket.co.za.