USD/ZAR to extend the bounce once 17.41/17.45 is overcome – SocGen
|USD/ZAR briefly challenged the 200-Day Moving Average recently, however, it has quickly rebounded after forming a low near 16.70. The pair is set to extend its advance on a break past 17.41/45, economists at Société Générale report.
Receding downward momentum
“Daily MACD has been posting positive divergence denoting receding downward momentum.”
“17.41/17.45, the 38.2% retracement of recent down move is initial resistance. Once this is overcome, USD/ZAR is expected to extend the bounce towards 17.95 and the high of October/November at 18.58.”
“The 200DMA at 16.87 is first support.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.