USDZAR
Long USD/TRY : Turkey Lira WeakeningThe Lira is nearing its all-time wides relative to the dollar. The Fed’s foreign CB repos and swap lines can tame the USD a bit, but they can’t save the weakest EMs like Turkey and South Africa. Some of Turkey’s largest exports are cars, trucks, and vehicle parts (the 3 are roughly 14% of exports). COVID transportation pain not going anywhere... TRY is. (weaker).
USDZARlooks very clean price action on this for a lovely sell coming up price is moving very corrective as seen with this just see what happens now at the top of the structure !
USD/ZAR : Sell From Top of the StructureDouble Top and Ascending Channel Pattern forming for Reversal in downside.
ThankYou
USD/ZAR Critical Zone - Possible 2,500 pip Drop I have not labeled this a short, pending study of price action within this critical zone. So, for now this is for study and educational purposes only. Study, study, study price action in this critical zone and price action. Price action within this zone is very key to whether we will see selling or a continued buy.
USDZAR Cup and Handle?We have seen USDZAR trade within a upward trend for most of the year, then reach a new high of R19.35. We then saw the ZAR break the upward trend and trade back below R18.00, before making a move back towards R19.00. This down and up move id what formed the cup and now for the formation to be complete, we need to see the ZAR trade back towards the R19.35 level to give us the handle we want. So expect the ZAR to remain under pressure as the pattern plays out and it coincides with the whole World Government Bond Index re balance that is due at the end of April.
Are We Still Bullish On The USDZAR???Nothing that has happened since the beginning of the week has deviated to the extent required for me to change my personal opinion of this pair, in my view it is still bullish and in line with the overall trend, if your mind is changing based on the sporadic price action around these levels, ask yourself why you're actually bullish on this pair, and if bearish why you're actually bearish on this pair. I've already read the headlines but what does the economic stimulus package actually mean for the ZAR, yes the world wants the USD to be reigned back but when? Let me know what you think.
USDZAR SHORT SETUPPotential short setup on USDZAR after breaking out of the channel and retesting it.
Also, take note of the ending diagonal after the breakout and retest.
USD/ZAR will continue to move higher in the following daysThe pair will continue to move higher in the following days and break out from its previous high. South Africa was able to flatten the curve of its coronavirus cases. However, the World Health Organization provided a grim outlook on the African region. The WHO said Africa might experience a rise of coronavirus cases up to 10 million in the next 6 months. Despite flattening the curve, the country hasn’t initiated mass testing which could trigger a second wave of coronavirus cases. The country’s economy could also deteriorate as major businesses suffer losses during the lockdown. Furthermore, it’s large exposure to the Chinese economy and the yuan could slow down the economy. The US, on the other hand, is countering the economic effect of COVID-19 through economic stimulus. The US government unveiled a $2 trillion package to aid the economy. Meanwhile, the Federal Reserve unveiled the largest stimulus in history at $2.3 trillion.
USDZAR Medium Term Long Starting to Emerge?The resistance I've previously mentioned in my analysis has been broken, not decisively, however it's an important time to be watching what price does next. I personally see price retesting the support before it continues on to the next resistance as I've illustrated, I would advise waiting for the retest before getting into a long position as it would mitigate some of the risk should we fall back below the support. Check out my linked ideas to see what I've had to say about the USDZAR for the coming two weeks. Let me know your opinion and if you agree/disagree.
