Chart USD/ZAR Update: Gains to remain limited
The fall towards critical support at the 17.0315 year low of 30 September 2024 and the 17.0630 current year low of 9 October has bounced sharply
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 17.8000 | break level | S1 | 17.2000 | * | congestion | ||
| R3 | 17.5625 | ** | 38.2% ret of Aug-Oct fall | S2 | 17.0630 | * | 9 Oct YTD low | |
| R2 | 17.5000 | ** | congestion | S3 | 17.0315 | ** | 30 Sep 2024 (y) low | |
| R1 | 17.4000 | congestion | S4 | 17.0000 | ** | congestion |
Asterisk denotes strength of level
12:30 GMT - The fall towards critical support at the 17.0315 year low of 30 September 2024 and the 17.0630 current year low of 9 October has bounced sharply, with prices once again trading above 17.2000. Bearish daily readings are flattening, suggesting potential for a test of congestion resistance within 17.4000 - 17.5000. But mixed/negative weekly charts are expected to prompt renewed selling interest/consolidation within here. A close above the 17.5625 Fibonacci retracement, if seen, would turn sentiment positive and extend October gains towards 17.8000. Meanwhile, support is raised to 17.2000. But a close below 17.0315 would confirm a deeper correction of the broad 2021-2023 rally, as focus then turns to the 16.6900 monthly low of January 2023.