- Rand hit a record low to the dollar last month, as rising concerns about waning growth in China hit commodity-linked currencies
- ZAR looks vulnerable and further drop below 14.00 to 14.10-20 area looks likely
- “A further fall in South Africa’s rand is not necessarily a bad thing and the currency should be allowed to play its role as a shock absorber”, Central Bank Governor Lesetja Kganyago said on Saturday
- 10-day and 30-day moving averages are positive aligned, reinforcing USD/ZAR bullish bias, 30-day upper bollinger-band continues to point higher
- The pair is currently trading at 13.9254, with immediate resistance at 13.9789 (session high Sept 7) and support on the downside at 13.7460 (2015 High Sep 4)
Recommendation: Good to buy dips around 13.9250, SL: 13.8540, TP: 13.9780Resistance Levels:R1: 13.9789 (session high Sept 7) R2: 14.0000 (Psychological Level)R3: 14.5000 (Psychological level)Support Levels:S1: 13.7460 (2015 High Sep 4)S2: 13.7439 (4h Tenkan Sen)S3: 13.5695 (Session Low Sep 4)
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