Chart USD/ZAR Update: Leaning lower
Cautious trade has given way to a drop to congestion support at 17.7000
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 18.3000 | * | congestion | S1 | 17.7000 | * | congestion | |
| R3 | 18.1525 | ** | 19 Jun (m) high | S2 | 17.6000 | * | congestion | |
| R2 | 18.0000 | ** | congestion | S3 | 17.5000 | * | congestion | |
| R1 | 17.8000 | * | congestion | S4 | 17.2500 | ** | 7 Nov (m) low |
Asterisk denotes strength of level
12:00 BST - Cautious trade has given way to a drop to congestion support at 17.7000, where unwinding oversold intraday studies are prompting short-term reactions. Overbought daily stochastics are now unwinding and the positive daily Tension Indicator is flattening, highlighting room for further losses towards 17.6000. However, improving weekly charts should limit any deeper reactions in consolidation/buying interest at strong support at congestion around 17.5000. A break, if seen, would turn sentiment negative and extend April losses towards 17.2500. Meanwhile, resistance is lowered to congestion around 17.8000. A close above here would help to stabilise price action once again and prompt consolidation beneath 18.0000.