USD/ZAR may rise 930 - 1360 pips

Our pivot point is at 17.7660.

Our preference

The upside prevails as long as 17.7660 is support.

Alternative scenario

Below 17.7660, expect 17.6950 and 17.6520.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (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 17.6510 and 17.5780).

Supports and resistances

18.0560 **

18.0130 *

17.9710 **

17.9280

17.8350 last

17.7950

17.7660 **

17.6950 *

17.6520 **

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