• Contact Us
  • Homepages
Most Forex
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
Most Forex
No Result
View All Result
Home Forex News

USD/ZAR Stands Firm as Risk-On Sentiment Prevails

Forex Tips by Forex Tips
December 4, 2020
in Forex News
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter


Rand Dollar Outlook:

Visit the DailyFX Educational Center to discover why news events are Key to Forex Fundamental Analysis

Rand Holds Steady Despite Renewed Restrictions

Despite reaching an all-time high in April 2020, USD/ZAR has steadily declined as bulls failed to maintain favor. Although the economic implications of Covid-19 have caused panic globally, the emerging market currency has appreciated against its US Dollar counterpart, largely attributed to an increase in risk-on sentiment as investors anticipate a roll out of the much anticipated Coronavirus vaccine.

Although South Africa has only experienced its first wave of the pandemic, president Cyril Ramaphosa has announced the reimplementation of certain restrictions, aimed at potentially reducing the number of new Covid-19 related cases and reducing the likelihood of a second wave. However, this was overshadowed by the increased possibility of additional fiscal stimulus in the US, as NFP figures came in at 245k, almost half of expectations of 460k.

USD/ZAR Technical Analysis

From a technical standpoint, the descending trendline, encapsulates the downward trend which has persisted for the past seven months, providing resistance for the pair. As the bears continued to exert dominance, the 76.4% Fibonacci retracement level has provided support at 15.2, holding the bears at bay. In addition to this, the Moving Average Convergence/Divergence (MACD) is currently hovering below the zero line, a potential signal that the pair may still be oversold.

Trading Forex News: The Strategy

Trading Forex News: The Strategy

Recommended by Tammy Da Costa

Can you prepare for NFP?

USD/ZAR Daily Chart

USD/ZAR Daily Chart

Chart prepared by Tammy Da Costa, IG

USD/ZAR Strategy Ahead

For now, current support continues to hold at 15.2, the 76.4% Fibonacci retracement level, with a break below this level resulting in a new support level of 15.00, a key psychological level.

In the upside, the next potential resistance levels may hold at 15.5, with a break above bringing 16.00 back into focus.

— Written by Tammy Da Costa, Market Writer for DailyFX.com

Contact and follow Tammy on Twitter: @Tams707





Source link

Share76Tweet47

Related Posts

US Dollar Fundamental Outlook: USD/SGD, USD/MYR, USD/IDR, USD/PHP

USD/CAD Volatility Jumps as BoC Decision Looms

by Forex Tips
January 19, 2021
0

US DOLLAR OUTLOOK: USD/CAD PRICE ACTION EYES BANK OF CANADA RATE DECISIONUS Dollar edged lower during Tuesday’s trading session...

Loonie gives back gains ahead of BoC Decision

by Forex Tips
January 18, 2021
0

USD/CAD Price Setup:The Canadian Dollar continues to trade within a well-defined range ahead of the Bank of Canada (BoC)...

Nasdaq 100, Dow Jones, DAX 30, FTSE 100 Forecasts for the Week Ahead

Russell 2000, S&P 500, Gold, USD, Biden Stimulus, Earnings, ECB

by Forex Tips
January 17, 2021
0

Recommended by Daniel Dubrovsky Get Your Free Equities Forecast Equities mostly fell this past week with a few key...

US Dollar Rebound in Focus Ahead of US Presidential Inauguration

by Forex Tips
January 16, 2021
0

US Dollar Talking PointsThe US Dollar Index (DXY) breaks out of the range bound price action from the first...

USD/ZAR Tests Key Fibonacci Support

by Forex Tips
January 15, 2021
0

Rand Dollar Price Action: USD/ZAR price action edged higher today, buoyed by a decrease in demand for Emerging Market...

Load More

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos
Forex Pulse Detector

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos

Newsletter

  • Home
  • Contact
  • Privacy Policy
  • Store

© 2018 Forex Blog

No Result
View All Result
  • Contact Us
  • Homepages

© 2018 Forex Blog.