USD/ZAR on the mid line of the channel

An ascending wave looks to be close

The price line had had a strong descend and since then has been moving within an ascending channel. On its previous leg, the price line could break above 0.236 of the Fibonacci retracement and then grew up to the mid line of the channel. Right now the price line is on the mid line of the channel and is potential to have a grow towards the top line of the channel.

            Chart Notes: 

           • Chart time-zone is UTC (+03:00)

           • Candles’ time-frame is 4h.


A strong support level has formed on 15.17 – 15.2  ;at the same time the resistance of the mid line of the channel is stopping the growth. RSI indicator is almost on 55 and MACD indicates a weak descending wave. In case the price breaks above the mid line of the channel, buyers can target 0.382 of the Fibonacci which would be 15.6743. The next possible target of the ascending wave could be the top line of the channel, 16.06. Sellers can enter the market if the price line breaks below 15.17. The target for bears could be 14.8 which would be level 0.236 of the Fibonacci as well as the base line of the channel.

• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore Ltd”. This post has been published only for educational purposes.