USD/ZAR Price Analysis: Monthly horizontal support questions bears’ attack around 17.00

USD/ZAR seesaws near three-week low amid bearish MACD.
The near-term strong support area could trigger bounce to 100-bar SMA.
June month’s low could lure the sellers below 16.88.

Anil Panchal FXStreet

USD/ZAR struggles to keep the sellers happy around 16.97 during the early Friday morning in Asia. The pair’s sustained trading below the key SMAs joins bearish MACD to suggest further downside. Though, one-month-old horizontal support comprising 23.6% Fibonacci retracement of May 14 to June 10 fall offers hopes of a bounce.

In doing so, a 100-bar SMA level of 17.21 will be the adjacent resistance ahead of pushing the buyers to confront 17.25/26 confluence including 200-bar SMA and 38.2% Fibonacci retracement.

During the quote’s sustained break above 17.26, buyers may aim for 17.42 and 50% Fibonacci retracement level of 17.55. Additionally, May 29 top and 61.8% Fibonacci retracement, respectively near 17.67 and 17.83, could challenge further upside momentum.

Alternatively, the quote’s failure to bounce off 16.88/90 area could extend the recent weakness towards 16.67 and then to June month’s bottom surrounding 16.33.

If at the USD/ZAR prices continue to drop after 16.33, the 61.8% Fibonacci retracement of the pair’s January-April upside, near 15.98, will be the key support to watch.

USD/ZAR four-hour chart

Trend: Pullback expected

Additional important levels

Overview
Today last price	16.9834
Today Daily Change	-0.0749
Today Daily Change %	-0.44%
Today daily open	17.0583

Trends
Daily SMA20	17.1128
Daily SMA50	17.7475
Daily SMA100	17.331
Daily SMA200	15.9975

Levels
Previous Daily High	17.4187
Previous Daily Low	17.0202
Previous Weekly High	17.5322
Previous Weekly Low	17.0913
Previous Monthly High	17.6219
Previous Monthly Low	16.3363
Daily Fibonacci 38.2%	17.1725
Daily Fibonacci 61.8%	17.2665
Daily Pivot Point S1	16.9128
Daily Pivot Point S2	16.7673
Daily Pivot Point S3	16.5143
Daily Pivot Point R1	17.3113
Daily Pivot Point R2	17.5642
Daily Pivot Point R3	17.7098

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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