Get started
JaredBooysen

We’ve reached an extreme in the Rand’s valuation!

Short
U.S. Dollar / South African Rand (OANDA:USDZAR)  
JaredBooysen Updated   
OANDA:USDZAR   U.S. Dollar / South African Rand
Trend Analysis Technical Indicators Fundamental Analysis
4
0
trendanalysis indicator fundamental
The ZAR has weakened roughly 6% per annum against the USD since 1990. Using the pitchfork indicator we can see we’ve reached an extreme in the Rand’s valuation on the weekly chart. As the dollar finds normality I believe the Rand will strengthen and find its way back to it's mean, however I expect volatility in the shorter term.
Comment:
snapshot

Looking at the daily chart, the ZAR might still see further weakness to about R19.20
Comment:
snapshot

The dollar index is also at extreme highs.
Comment:
Trade closed: target reached
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.