USD/ZAR 1H Chart: Channel Up
Comment: The American Dollar is trading against the South African Rand in the ascending channel, which has formed after the currency rate bounced off from the weekly S2 at 13.0746 and broke through the upper trend line of the preceding descending channel. It is likely that the pair will continue an upward movement until it meets the combined resistance put by the monthly and weekly PP at 13.4136 and 13.4693, accordingly. Market participants should watch these levels, as decline or horizontal movements of the pair are likely to follow. Meanwhile, SWFX market sentiment indicates that the currency pair is already overbought, as 75% of trader open positions are short.
AUD/USD 1H Chart: Channel Up
Comment: The Canadian Dollar is trading against the American Dollar in the short-term ascending channel. This pattern has formed amid the Greenback's appreciation, when the currency pair broke through the bottom trend line of the dominant ascending channel. From the technical perspective, the rate is likely to stay within the junior channel until it meets the resistance level put by the weekly R2 at 0.7477. The upcoming change of direction is supported also by the fact that the pair is already overbought, as 62% of open SWFX positions are long. However, an early breakout might occur during this trading day amid the release of US unemployment claims at 8:30 GMT.
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