FX.co ★ USD/ZAR upwards continuation possible

USD/ZAR up channel

The USD/ZAR pair increased within an upward channel lately. As long as it stays above the uptrend line (downside obstacle), the price could approach and reach new highs despite temporary retreats. It was trading at 18.791 at the time of writing and was about to reach the 18.780 former high, which represents a potential downside obstacle.

As you can see on the H1 chart, the price ended the downtrend after escaping from the down channel pattern. Jumping above the downtrend line announced a potential upside reversal.

USD/ZAR trading conclusion

After its impressive growth, a temporary drop was natural. Testing and retesting the 18.780 or even the uptrend line may announce that the minor drop could be over and that the price is expected to develop a new upwards movement towards the upside line.