I have been actively trading this pair together with the USDZAR pair as well (they have been incredibly wonderful & very profitable pairs to trade with).
Ever-since a very strong upside rally at the beginning of this year to some new highs; this pair (together with the USDZAR) has ever-since left the highs far behind; & have started plunging lower & lower...
Potential trendlines channel and fibs to get some setup to trade this pair
Wait and see
Trade your plan. If you dont have any avoid trading
(Warning. I am a private trader. I don't sell any signals, equipment or other sources of learning about forex . I am here to share ideas based on technical analysis to improve me on Forex practice. Trading forex is...
It seems the finance minister has been abruptly removed. Replaced with a little known politician. The rand seems to have dropped significantly, more so than reasonable and so I would say its devaluation is overstated. The fundamentals remain the same.
If this bearish Cypher pattern is formed, we have a good short opportunity which would also provide a good positive swap.
Weekly trend is also bearish.
For more details on Cypher patterns, see Nico_Muselle's related idea below
A break below the current solid support would set you up for a very good long term trade. Sell and walk away for a month. A break above and the high swap works against you but still you could hold it for a few days above the resistance line.
Consolidation is confirmed by both Bollinger bands and MACD.
