Technical analytics

USDZAR market technical outlook

Daily chart:

Currency pair came close to mid-term support 14.5081, which almost for sure will trigger upward bounce as ADX potential won’t suffice for a break. Probable target of upward correction will be middle Bollinger band (14.7491).

H4-chart:

Local lower Bollinger band is broken suggesting maintenance of overall downward tendency. At the same time traders will have to resolve the issue with potential sell entry point. There are two potential entries: middle and upper Bollinger bands (14.6518 and 14.7898).

H1-chart:

Low intraday trending potential may lead to flat inside Bollinger bands (14.5081-14.6518).

Expectations:

Main scenario: Pullback to 14.6518 and then decline to 14.5081.

Alternative scenario: Higher correction to the 14.7898 region and following downward reversal.

Trading recommendations:

Shorts from 14.6518 and 14.7898 to 14.5081.

 

New articles