I am seeing a potential 47500 pips bullish push for this pair. My analysis is based off of three time frames. On the monthly there has been a trendline of support since June 2018 (if one draws a trendline to current date. I also noticed a level of previous resistance which could now act as support. The market has now fallen to both these "zones" on a 38% Fib retracement level which act as confluences and gives enough reason to have the market start pushing up for the next few months to 19,88471. Knowing this information, I now go down to the daily chart and what we'd notice is that a swing low formed on 9 December 2020 and the RSI indicator is diverging. The only issue that I notice based on the daily is the previous areas where the market found support (which could act as resistance) and the downwards trendline, but this will still give us a 9700 pips movement. If Zar is going to loose strength then we should be able to break above this trendline and future resistance. Since we are already low on the daily chart, my entry is on the 1H timeframe. We notice that the market was within a down channel but broke above this channel on Friday and also retested the back side with a bit of consolidation. I am looking to take a buy position at a counter trendline break of this retest and consolidation area. My stop will be 25 pips below the trendline with a take profit of 150 pips.
USDZAR
USDZAR