| Rates | |
| USD / ZAR: | 13,535 |
| EUR / ZAR: | 14,4553 |
| GBP / ZAR: | 16,85 |
| ZAR / JPY: | 8,1677 |
| EUR / USD: | 1,0669 |
| GBP / USD: | 1,2438 |
| USD / JPY: | 110,7 |
| Ø | ZAR prices in risk as it remains resilient | |||||||
| Ø | Market waiting for moves on #1 | |||||||
| Ø | Fin Min covers himself in doubt and lies | |||||||
| Ø | S&P gives warning on Eskom and nuclear programme | |||||||
| ZAR has amazingly remained resilient and not weakened as was expected in the wake of the recent cabinet reshuffle and the political turmoil in the country. The new Min of Fin has surely not done himself justice by lying to SA about his knowledge of the downgrade 4 days before it was released. He still lacks credibility specifically due to his allegiance to the Guptas. Losing another credible person in Treasury (Lungisa Fuzile) has raised fears about not having a steady hand on the coffers. Market is waiting for the ANC/Gov to make a call on #1 future, to give some direction to the economy, its people and business. Market has priced in risk as it reached highs of 13.80 and it will be interesting to see if through the next days and weeks if this can be sustained amid all the political upheaval and what news will unfold. Talking to traders they are still remaining long as feeling is #1 will not go without a fight for his survival. Trading range 13.50-14.30
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| Economic Data: | 05th Apr | |||
| Ø | SA SACCI Business Confidence | |||
| Ø | US Mortgage Applications | |||
| Ø | US ADP Employment change | |||
| Ø | US FOMC Meeting Minutes | |||
USD/ZAR Hourly Candle
This chart could easily rally back over R13.80, but I would take that opportunity to sell out $ longs as a pullback is on the way.
” If I have positions going against me, I get right out; if they are going for me, I keep them… Risk control is the most important thing in trading. If you have a losing position that is making you uncomfortable, the solution is very simple: Get out, because you can always get back in.” – PTJ
USD/ZAR Daily Close
This chart has run into some sold resistance and we could easily see a pullback to the R13.20’s.
“The markets are never obvious. It is designed to fool most of the people, most of the time.” – Jesse Livermore
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