The South Africa 40 cash index has formed a new short-term trading range between levels 44820 and 45390. At the time of writing, there is an intraday downside breakout of this range (labelled with arrow and ?) which is only confirmed should the price close below 44820.
Should the breakout confirm, the next level of support is favoured at 44240, which if broken, further favours a move to 43850. Should the intraday breakout fail with the price closing back above 44820 a move back towards short-term resistance is favoured at 45390. As the longer-term inverse head and shoulders formation (L,H and R) remains valid, all the above scenarios alluded to find preference with a bullish bias.
i.e. Should weakness occur, it may afford long entry from support rather than short entry against the recent bullish momentum. Only if the current intraday retrace evolves from shallow to deep, i.e. below 43850, would a renewed bearish bias be considered.