USD/ZAR may fall 1409 - 2039 pips

Our pivot point stands at 18.5800.

Our preference

The downside prevails as long as 18.5800 is resistance.

Alternative scenario

Above 18.5800, look for 18.6870 and 18.7500.

Comment

The RSI is trading below 30. This could mean that either the pair is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is below its signal line and negative. The configuration is negative. Moreover, the price stands below its 20 and 50 period moving average (respectively at 18.5670 and 18.5670).

Supports and resistances

18.7500 **

18.6870 *

18.5800 **

18.5380

18.4749 last

18.3340

18.2710 **

18.2070 *

18.1440 **

Number of asterisks represents the strength of support and resistance levels.