South African Rand Forecast: USD/ZAR, GBP/ZAR,EUR/ZAR Price Setup

Currently, price action has halted at a key area of support at 19.645, formed by the 61.8% Fibonacci retracement level of the move between August 2019 low and April 2020 high. A break below this level may fuel selling pressure, with the next level of support forming at the psychological level of 19.00. If bulls are able to break above 20.00, increased buying pressure may assist in a test of the 50% retracement level, forming a wall of resistance at 20.437

GBP/ZAR Daily Chart

GBP/ZAR Daily Chart

Chart prepared by Tammy Da Costa, IG

EUR/ZAR TECHNICAL ANALYSIS

The Euro has remained relatively flat as investors await the official announcement of a Brexit deal. Meanwhile, EUR/ZAR has made little headwind, with price action resembling that of the pairs discussed above.

Currently, the 61.8% Fibonacci retracement level holds as support at 17.675 with 17.50 forming as the next level of support. For bulls, a break above 18.00 could result in the 50% retracement level setting as the next level of resistance at 18.296.

EUR/ZAR Daily Chart

Please EUR/ZAR Daily Chart

Chart prepared by Tammy Da Costa, IG

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