Analyst Thoughts - USD/ZAR Medium-term
VIEW RETAINED FOR A GENERAL BULLISH TREND CONTINUATION TO 20.70.
The general view of a PQ triangle pattern, followed by a re–emergence of the bull trend to R1 and T1, seems to be materialising. The breach of P/S0* has activated the illustrated gain potential, although a bit earlier than expected.
The current R0/S0* consolidation is possibly phase ii of the bull trend to T1.
A break of R0 should activate phase iii for upside to at least R1 and towards T1.
S0* is now the important negation level and is luckily quite close.
A break below this level will suggest further R0/S1 ranging.
Expect volatile interim moves!
Target and Re-assessment Levels:
Important Levels: S0*
Primary Trend: Impulsive gains to R1 and T1
Monthly Range: R1/S0*
Current Trend and Target Levels: R0/S0 consolidation
Technical Rating: Medium