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USD / ZAR Evergrande, Commodity, Major Levels

USD / ZAR outlook:

  • USD / ZAR Test important support after Evergrande payments boost demand Emerging Markets (EM) Currencies
  • Commodity prices and bond payments by Evergrande support Rand
  • U.S. unemployment claims fall to the lowest level with a 9-month limit USD / ZAR loss

Evergrande, product shortage, risk sentiment support South African rand

Over the last few weeks, commodity prices have boosted demand in the South African rand due to heightened geopolitical tensions and supply constraints.

With the temporary evasion of bond defaults by Chinese real estate giant Evergrande, temporary bailouts increased demand for emerging market currencies and allowed bears to return prices to 14.60.

But as the Federal Reserve raises prospects for rate hikes under heavy pressure to start tapering to counter rising inflation, the release of positive U.S. unemployment data hinders bear’s ability to lower prices. I did.

USD / ZAR Technical Analysis

Due to rising product prices that support unstable lands U.S. dollar/ ZAR managed to fall below 15.00 as the bear returned the price to 14.60 and kept the bear away.

While major Fibonacci levels of both historical and short-term movements continue to provide both support and resistance to the pair, the formation of tops on the weekly chart is foreseen by a breakout to either side. It may suggest that it is likely in the future.

USD / ZAR Weekly Chart

Created chart Tammy Da Costa Use TradingView

On the other hand, in the daily time frame, Price action Currently remains encapsulated by Fall channel It was formed back from the October highs. Stronger after falling to 23.6% Fibonacci level of August-September movement at 14.37 U.S. dollar The bulls allowed the price to rise temporarily before finding support around 14.60.

USD / ZAR daily chart

South African Rand Dollar Update: Evergrande, Commmodities & amp; USD / ZAR Key Level

Created chart Tammy Da Costa Use TradingView

For now, significant support is currently maintained at a major psychological level of 14.60, with breaks below 14.30 revived.

In contrast, for breaks above 14.78 (23.6% Fibonacci resistance level in the 2020-2021 move), the Bulls retested 15.00 before raising prices to their August 2020 highs of 15.39. May be returned.

— Created by TammyDaCosta, an analyst at DailyFX.com

Contact Tammy on Twitter to follow us. @ Tams707



USD / ZAR Evergrande, Commodity, Major Levels

Source link USD / ZAR Evergrande, Commodity, Major Levels

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