- USD/ZAR hovers below a long-run SMA support of 15.47.
- The daily chart shows scope for a minor bounce before a deeper sell-off.
The USD/ZAR pair is again trading below the 100-week Simple Moving Average (SMA) of 15.47.
The 14-Relative Strength Index (RSI) is hovering in bearish territory below 50 and pointing south, suggesting scope for a continued decline in the currency pair. The weekly chart MACD histogram, an indicator used to gauge trend strength and trend changes, is also flashing signals.
However, on the daily chart, these indicators are signaling seller fatigue. As such, the pair may chart a temporary bounce before exploring deeper support levels, as suggested by the weekly chart indicators.
The immediate resistance at 15.47 (100-week SMA) followed by the lower high of 15.73 created on Nov. 12. Meanwhile, support is seen at 15.2092 (last week's low) and 14.35 (200-week SMA).
The pair is now trading largely unchanged on the day near 15.39.
Weekly chart
-637412690512551258.png)
Trend: Bearish
Technical levels
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