ZAR/JPY may rise 833 - 1169 pips

8.3888 is our pivot point.

Our preference

The upside prevails as long as 8.3888 is support.

Alternative scenario

The downside breakout of 8.3888 would call for 8.3324 and 8.2989.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 8.3789 and 8.3521).

Supports and resistances

8.6302 **

8.5965 *

8.5629 **

8.5293

8.4460 last

8.4109

8.3888 **

8.3324 *

8.2989 **

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