| Rates | |
| USD / ZAR: | 13,7512 |
| EUR / ZAR: | 14,5093 |
| GBP / ZAR: | 16,729 |
| ZAR / JPY: | 8,4241 |
| EUR / USD: | 1,0548 |
| GBP / USD: | 1,2158 |
| USD / JPY: | 116,04 |
| Ø | ZAR remains range bound and quiet | |||||||
| Ø | Pres elect press conference today | |||||||
| Ø | US economy could be under pressure as Trumps pledges may not happen | |||||||
| Ø | SA politics will be an affect on market | |||||||
| Market still remains quiet and subdued ahead of President elect Donald Trump’s news conference. Fears are that his policies may put further pressure on the US economy. The market is ahead of itself as it is not easy to assess fully Trumps policies at such an early stage. MXN Peso has weakened some 15% since his nomination, this will eventually filter to EM currencies. Basket of currencies lost some ground yesterday as the dollar made some gains. Most of report is about Pres Elect Trumps campaign pledges which may not come to pass and as stated could well effect the US economy. On the local front while the ZAR holds it strength, we need to be aware of the political situation in SA, especially on the Gordhanexit saga and the pending Gupta court case. These will have a huge effect on the market volatility and direction of the ZAR.Talking to traders, the status quo remains the same, mostly square to small long. Trading rand 13.58-14.08 |
| Economic Data: | 11th January 2017 | |||
| Ø | SA SACCI Business confidence | |||
| Ø | US MBA Mortgage Application | |||
USD/ZAR Hourly Candle
The general range on this chart is around R0.20 – R0.50.
And with this in mind I would be looking for this chart to trade the top of the range at which point I will consider selling or trade to the bottom of the range at which point I would consider buying some USD’s.
Until then though I would advise sitting on my hands until further notice as players are being topped and tailed in this range daily.
“The market is never obvious. It is designed to fool most of the people, most of the time.”
– Jesse Livermore
USD/ZAR Daily Close
This chart is not very bullish at present and only confirms a bull trend with a daily close over R14.80.
Until such time this chart is range bound between R13.10 – R14.35.
At this stage I favor selling the top of the range as the market feels very long USD’s, while the ZAR is super strong vs USD compared to where the Euro is vs USD.
“Losers average down losers. – PTJ
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