USD / ZAR call points:
- USD / ZAR remains stably up Main psychological level at 2 p.m.
- Jacob Zuma (former President of the Foundation) starts prison sentence on charges of contempt, political tensions rise
- US dollar strength and goods prices remain the main catalysts for ZAR
- The basics begin falter as the SA continues to fight the Delta variant
Taking all factors into account fluctuating beach has been an impressive year against of this key colleagues, demonstrating strong resilience that was able to maintain the associated declining narrative USD / ZAR until now.
If price operations are currently consolidating within a well-defined range, a withdrawal in return may give the bulls the impetus needed to reverse the systemic trend.
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As the country approaches the end of the two-week Level 4 closure restrictions, the economy will weigh further on concerns about the ongoing fight against rising Covid-19 cases, corruption and unemployment, which will put enormous pressure on businesses and consumers with little government support.
USD / ZAR price setting
USD/ ZAR price operations are currently within a well-defined range between the key level of the 2021 Fibonacci movement. After rising above the former support, which continues basic psychological level at 2 p.m. USD/ ZAR has risen above the resistance of the previous trend line, causing prices to temporarily stop at a rebound of 38.2%, holding short-term support at 14.23.
Although the formation of the Doji candle (yesterday) suggests indecision, it is Converging Mean Approach / Deviation (MACD) remains well above baseline, suggesting that the bullish momentum is at least currently favorable.
USD / ZAR Daily Chart
The chart was compiled by Tammy da Costa using IG
– Written by Tammy Da Costa on behalf of DailyFX.com
Connect and follow Tammy on Twitter: @ Tams707