Straight down followed by straight up, I can’t catch my breath, let alone form a solid view.
With this chart making a decent inverted H&S, Scenario #2 (from 3 Mondays ago) is still on the cards.
Scenario #2.
The current formation is an irregular flat bear correction that trades back to the R14.20’s, then trades up hard and fast to print between R15.70 – R15.86 to complete the correction while getting everyone and their dog long USD, only to collapse and come down to test the yearly lows and possibly print as low as R11.50.
Both scenarios will have one wondering because after the ferocity of last week’s fall, there is very little confidence in this chart.
Only a daily close over R15.62 would negate scenario #2.
As with the weekly chart, I would not hold any position now for more than R0.30.
Please don’t wipe yourself out as there will still be plenty of opportunities to come before year-end.