Major resistance for the USD/ZAR pair is expected at 17.27 and a break above this rate will see the forecast range between 17.32 – 17.48 realize year-end. A move into this range is less probable than the zone’s below the major resistance of 17.28.
Red zone 1 is expected for August month-end.
Red zone 2 is expected for September month-end.
Red zone 3 is expected for October and November month-end.
Red zone 3 is critical and could be seen as a resistance zone, an upside move out of this range will allow the USD/ZAR to move up into the forecasted year-end range if the resistance at 17.28 does not hold.
A failed break above 17.27 will see the USD/ZAR retrace it’s gains and close the year in red zone 3.
A failed break above the red zone 3 will see the pair retrace it’s gains and close in the red zone 2, which is at the moment the most likely yearly closing range .
Rand strength:
The 200-day exponential average, currently at 16.42, is expected to keep the rands’ gains at bay. Rand strength will allow the pair to break this support rate and move the pair into the neutral zone (red zone: 0). A break below the neutral zone will allow the rand to strengthen into “yellow zone 1” between 15.88 and 16.08. The best case scenario for the rand will be a move towards the floor at 15.50, in “yellow zone 2.”
Red zone 1 is expected for August month-end.
Red zone 2 is expected for September month-end.
Red zone 3 is expected for October and November month-end.
Red zone 3 is critical and could be seen as a resistance zone, an upside move out of this range will allow the USD/ZAR to move up into the forecasted year-end range if the resistance at 17.28 does not hold.
A failed break above 17.27 will see the USD/ZAR retrace it’s gains and close the year in red zone 3.
A failed break above the red zone 3 will see the pair retrace it’s gains and close in the red zone 2, which is at the moment the most likely yearly closing range .
Rand strength:
The 200-day exponential average, currently at 16.42, is expected to keep the rands’ gains at bay. Rand strength will allow the pair to break this support rate and move the pair into the neutral zone (red zone: 0). A break below the neutral zone will allow the rand to strengthen into “yellow zone 1” between 15.88 and 16.08. The best case scenario for the rand will be a move towards the floor at 15.50, in “yellow zone 2.”