USD/ZAR Price Analysis: Sellers attack $15.85-80 support confluence
- USD/ZAR remains pressured around short-term key support joint comprising 13-day-old ascending trend line, 100-SMA.
- Bearish MACD signals keep sellers hopeful, ascending trend line from late October adds to the downside filters.
USD/ZAR bears battle crucial support convergence, down 0.41% intraday near $15.85 heading into Tuesday’s European session.
Given the bearish MACD signals and the South African currency (ZAR) pair’s failures to rebound, the quote is likely to conquer the confluence of 100-SMA and an ascending support line from November 17, around $15.85-80.
While the breakdown will quickly drag the USD/ZAR prices towards an ascending support line from late October, near $15.60, any further declines will be tough.
Also acting as extra support is the area comprising multiple tops marked since early November near $15.50.
On the flip side, corrective pullback needs to cross the weekly resistance line, around $15.85 by the press time, to recall the USD/ZAR buyers.
Following that the recently flashed multi-day peak of $16.36 and late October 2020 high near $16.50, will gain the market’s attention.
USD/ZAR: Four-hour chart
Trend: Further weakness expected
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
