ExoticTrading is a series of analyzes, which is created in collaboration with the broker InterTrader and is published on Comparic every Monday, Wednesday and Friday. The theme as the name suggests are so called- exotic currency pairs.
USDSGD for two months is moving up. On Tuesday, the market overcame the September highs and today’s bullish impulse broke over another important resistance at 1.3734. If this day ends above mentioned level, then in the near future we can expect a continuation of growth, even in the area of 1.3843.
On USDZAR situation looks very similar to the USDSGD. Also, the market for two months is moving up. Today’s bullish impulse is testing the resistance zone 13.9213 – 13.9870. Given the strength of gains and the fact that the upper limit in the zone coincides with the 50% Fibonacci retracement and the downtrend line we assume that this is only a correction and rejection of that level could be the signal for the continuation of the earlier declines.
On the weekly chart, we see that for a long time the market moves in a downward channel forming a flag formation. We are currently testing the upper limit of the channel, and if this level is defeated, then the next resistance appears to be around the level of 8.7500.