South Africa Stock Market Index (South Africa Top 40)

The overall recommendation is Buy based on technical indicators and moving averages. An RSI between 30 and 70 is pretty normal, showing a neutral rating. The MACD line is below the signal line pointing to a bearish trend. The 10-day EMA is above the 20-day EMA which suggests short-term strength. The current price is above the 50-day SMA which is a sign of medium-term strength. The 50-day SMA is above the 200-day SMA, supporting a longer-term positive trend. The ATR is 1563.50 which gives a sense of the current price volatility.

Recent forecasts from financial institutions suggest a positive outlook for the South Africa Stock Market Index (SA40). Momentum Investments favors South African over global assets due to valuation margins of safety. Major South African banks showed strong financial performance in the first half of 2025 with significant earnings growth and capital ratios. This indicates a robust domestic financial sector supporting the stock market. J.P. Morgan Research forecasts emerging market growth to slow to a 2.4% annualized rate in the second half of 2025. Emerging market central banks are expected to continue cutting rates.