US Dollar /South African Rand Technical View $USDZAR

5 Eyl 2019

This morning I am taking a look at the South African Rand versus the US Dollar (USDZAR) from a technical perspective. The resistance at the rounding top formation has coincided with the price retracement on the back of the South African GDP print of +3.1% as well the general risk-on sentiment. The Relative Strength Index (RSI) has gradually proceeded to print 41, confirming the downward trend while the Money Flow Index has also trended lower. The price has also shifted to position itself below it's short term moving averages which have also started to trend down. The 13-month rounding formation remains in place with the price trending toward the lower boundary of this range. This is also close to the 200-day simple moving average at 14.29 as well as the 50-day moving average at 14.61 which could be seen as levels of support while the prior double top support at 15.09 is temporary upside resistance.