Chart USD/ZAR Update: Extending corrective gains
Minor gains are extending, with prices currently trading around 16.5000
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 17.0000 | ** | congestion | S1 | 16.3025 | 6 Jan YTD low | ||
| R3 | 16.8000 | break level | S2 | 16.1060 | ** | 11 Aug 2022 (m) low | ||
| R2 | 16.7000 | break level | S3 | 16.0000 | ** | congestion | ||
| R1 | 16.6000 | break level | S4 | 15.8800 | ** | 61.8% ret of 2021-2023 rally |
Asterisk denotes strength of level
12:20 GMT - Minor gains are extending, with prices currently trading around 16.5000. Daily readings continue to rise, highlighting room for a break above here towards resistance at 16.6000. But mixed/negative weekly charts are expected to limit any extension beyond here in renewed selling interest/consolidation within the 16.7000 - 16.8000 range. Following cautious/corrective trade, fresh losses are looked for. Support remains down to the 16.3025 current year low of 6 January. A break beneath here will add weight to sentiment and extend the April bear trend towards the 16.1060 monthly low of 11 August 2022 and historic congestion around 16.0000. Just lower is the 15.8800 Fibonacci retracement. But flat oversold weekly stochastics are expected to limit any initial tests of this broad 15.8800 - 16.1060 range in short-covering/consolidation.