USD/ZAR may fall 1194 - 1724 pips

Our pivot point stands at 18.5170.

Our preference

Target 18.2410.

Alternative scenario

Above 18.5170, look for 18.6070 and 18.6600.

Comment

The RSI is below its neutrality area at 50. The MACD is below its signal line and positive. The MACD must penetrate its zero line to expect further downside. Moreover, the pair is trading under its 20 period moving average (18.4240) but above its 50 period moving average (18.4020).

Supports and resistances

18.6600 **

18.6070 *

18.5170 **

18.4820

18.4134 last

18.2940

18.2410 **

18.1880 *

18.1340 **

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