USDZAR Short trading opportunity(swing-trading) 5
I expect a swing of about 70cents+- all the way down to R17.50+- per dollar, expecting the ZAR to strengthen in the short term within a month or so to 17.50+-.
If the USA Federal Reserve starts cutting interest rates or at least give solid indication it is about to soon then it could signal that the dollar might weaken a bit for the ZAR to strengthen against it as massive amounts of money moves around, the South Africa presidential elections although more chaotic this year still seems to put the ANC in favor, and generally in the short-term (or rather more than 50% of the times) the elections have had a positive effect on the ZAR in the short-term.
My only risk here is that if the target is not reached I will have to move money overseas in a more unfavorable conversion ratio, so I am not risking money directly but rather in a way indirectly.
If the USA Federal Reserve starts cutting interest rates or at least give solid indication it is about to soon then it could signal that the dollar might weaken a bit for the ZAR to strengthen against it as massive amounts of money moves around, the South Africa presidential elections although more chaotic this year still seems to put the ANC in favor, and generally in the short-term (or rather more than 50% of the times) the elections have had a positive effect on the ZAR in the short-term.
My only risk here is that if the target is not reached I will have to move money overseas in a more unfavorable conversion ratio, so I am not risking money directly but rather in a way indirectly.
Trade closed manually