USD/ZAR has breached a major resistance at 16.3630/86, reasserting the uptrend from Q2 of 2021 and providing a platform for a move to 17.0709/2617 initially, and above here potentially to 17.7836, analysts at Credit Suisse report.

USD/ZAR reasserts the uptrend from Q2 of 2021

“With the uptrend from Q2 of 2021 now reaffirmed and with our bullish outlook for the DXY index in mind, we look for the strength to continue to the 61.8% retracement at 17.0709/2617 initially, with a break here looking to extend the upside to the high of August 2020 at 17.7836.”

“Note that the Credit Suisse House View is currently neutral on USD/ZAR on a three-six month horizon.”