Forex Market: USD/ZAR daily trading forecast

Yesterday’s trade saw USD/ZAR within the range of 10.5651-10.6429. The pair closed at 10.5787, losing 0.49% on a daily basis.

At 7:36 GMT today USD/ZAR was up 0.16% for the day to trade at 10.5844. The pair touched a daily high at 10.5986 at 5:44 GMT.

Fundamental view

United States

The number of people in the United States, who filed for unemployment assistance for the first time during the week ended on August 8th, probably increased to 294 000 from 289 000 in the prior week. This is a short-term indicator, reflecting lay-offs in the country. In case the number of initial jobless claims increases more than projected, this would have a bearish effect on the greenback. The Department of Labor is to release the weekly report at 12:30 GMT.

The number of continuing jobless claims dropped to the seasonally adjusted 2 518 000 during the week ended on August 1st, from 2 539 000 in the previous week. This indicator represents the actual number of people unemployed and currently receiving unemployment benefits, who filed for unemployment assistance at least two weeks ago.

Technical view

According to Binary Tribune’s daily analysis, the central pivot point for the pair is at 10.5956. In case USD/ZAR manages to breach the first resistance level at 10.6261, it will probably continue up to test 10.6734. In case the second key resistance is broken, the pair will probably attempt to advance to 10.7038.

If USD/ZAR manages to breach the first key support at 10.5482, it will probably continue to slide and test 10.5178. With this second key support broken, the movement to the downside will probably continue to 10.4704.

The mid-Pivot levels for today are as follows: M1 – 10.4941, M2 – 10.5350, M3 – 10.5719, M4 – 10.6108, M5 – 10.6497, M6 – 10.6886.

In weekly terms, the central pivot point is at 10.7059. The three key resistance levels are as follows: R1 – 10.7873, R2 – 10.9142, R3 – 10.9956. The three key support levels are: S1 – 10.5790, S2 – 10.4976, S3 – 10.3707.