Last week, the USD/ZAR pair touched a low near R17.64 and seemed range-bound between R17.70 and R17.94. However, the pair experienced a bearish reversal, pulling back into the declining 8-day EMA. This signals that any upward movement could face strong resistance in the short term.
Looking ahead, the recent developments from the Federal Reserve, coupled with key data releases, suggest the potential for increased volatility. The critical question now is whether the rand will hit R18, or if it will continue to strengthen and test lower levels.
An extract from Lester Davids our analyst.
Key Questions to Watch:
Will USD/ZAR break above R18?
Will USDZAR move further towards R17,60?
Will it continue to be range bound between R17,70 and R17,95?
Stay informed with Unum Trade as we monitor these unfolding events.
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