USD / ZAR hit two-month highs on Friday, but the Forex pair has since sold off and, early in today, has maintained bearish characteristics.

Publicity

Short-term USD / ZAR trading has been volatile. As financial institutions position their trades ahead of the U.S. jobs report on Friday, the Forex pair hit two-month highs near the 14.52,000 ratio. However, the USD / ZAR has stumbled from these highs and, as of this writing, is near 14.26000. Traders should remember that US financial houses will be largely absent from Forex markets today, which means volumes will be lighter than normal.

The USD / ZAR has seen a demonstrative bullish trend since the 6e of June. Traders may believe that Friday’s price action has peaked for higher momentum within the USD / ZAR, and be tempted to test these beliefs with short positions. However, before traders jump too aggressively into the Forex pair, they may want to see what happens the next couple of trading days as volumes return to normal and balance is sought.

Bearish speculators can’t be faulted for being wary of the USD / ZAR’s upward movement over the past four weeks, but it might be better to see a few other significant support levels turn out to be vulnerable before they do. try to jump on the trend. The junctions of 14,20000 and 14,10000 could prove to be important ratios for the USD / ZAR, but even if these support levels are broken today, traders may want to remain cautious until that point. that US trading companies return to Forex tomorrow.

Resistance near the 14.30000 to 14.40000 levels may seem compelling to short-term bullish speculators, but profit-taking orders should be in place to cash positions before profits vanish into thin air. due to the reversals occurring. Traders should expect choppy conditions over the next twelve hours as the USD / ZAR tries to find a quiet price relationship after Friday’s big move up and then down. What might prove appealing to bearish traders who continue to have selling sentiment is the technical idea that the Forex pair has maintained its near-term low range this morning.

Selling USD / ZAR continues to look like the most attractive trade for USD / ZAR. However, traders need to be careful today and understand that a large amount of momentum can enter Forex the next day which could bring more volatility. Support ratios look attractive, but proper risk management should be used while continuing to sell short positions in USD / ZAR today.

Short-term outlook for the South African Rand:

Current Resistance: 14.29500

Current support: 14.23500

High target: 14 35,500

Low target: 14.18000

USD / ZAR



Leave a Reply

Your email address will not be published.