USD/ZAR Up 283 Pips On Hourly Chart; Moves Down For the 5th Straight Day

Hourly Update

(Last Updated October 5, 2020 16:22 GMT)

At the time of this writing, USDZAR’s rate is up 0.0283 (0.17%) from the hour prior. This is a reversal of the price action on the previous hour, in which price moved down. If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe. Most noteworthy in the world of moving averages on the hourly chart is that the 20 hour moving average has been crossed, so that price is now turning above it. The moving averages on the hourly timeframe suggest a bullishness in price, as the 20, 50, 100 and 200 are all in a bullish alignment — meaning the shorter durations are above the longer duration averages, implying a sound upward trend.

USDZAR End of Day Recap

Updated 00:30 GMT (04:30 EST)

USDZAR is down 908 pips (0.55%) since yesterday (opening today near 16.5059), marking the 5th straight day it has gone down. Compared to its peers in the Forex, USDZAR gave its buyers a return that ranked 38th in terms of percentage change since yesterday. Below is a price chart of USDZAR.

USDZAR

USDZAR Technical Analysis

Coming into today USDZAR is now close to its 20, 50 and 200 day averages, located at 16.7066, 16.921 and 16.704 respectively, and thus may be at a key juncture along those timeframes. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 200 day average, which is 1980.6 pips away. For additional context, note that price has gone down 9 out of the past 14 days.

The View From Around the Web

Of note is that traders in aggregate have opinions on USDZAR, with 7 buy signals on our radar and 1 sell signals. This imputes a buy/sell ratio of 7, which is very bullish. As for the rationale, technical traders seem to be citing the appearance of a trendline technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

With the important support level of 16.55 broken and price now trading below the wedge it is likely that we will see the 16.10 area tested where it will meet support from the Monthly S1….Only a close back above the Monthly Pivot @ 16.68 will invalidate this move and give us higher targets in the vicinity of 17.00