Quick Fire Dollar / Rand Update
19 October 2022
Dollar/Rand Weekly Candle
The Weekly chart, as previously mentioned, was and is still overdone.
I thought that the spike to R18.58 could well be the MT top of the market.
After taking another deep dive into the charts, I must confess that the current move off the highs looks far more like a correction than a top.
Currently, the pullback level would be down to R17.60 before looking to go higher.
I would seriously consider locking in Dollars (if you need to buy them) under R17.90 and buying into weakness.
The only way the market is not in a corrective phase based on the Weekly chart is if we close under R17.07.
“I’m always thinking about losing money as opposed to making money. Don’t focus on making money. Focus on protecting what you have.” – Paul Tudor Jones
Dollar/Rand Daily Candle
The Daily Chart has a very decent top candle.
As long as the market consolidates under R18.35, the greater the probability that we experience a pullback down to R17.60.
A trade lower to these levels will also coincide with the 55 EMA.
As with the Weekly, The Daily appears to be in a corrective phase that should look to trade higher once complete.
The Daily chart will only reverse the upward trend based on a close under R17.17.
“I always believe that prices move first and fundamentals come second” – Paul Tudor Jones
Dollar/Rand 240 Min Candle
The 240 Min
Chart, at this point, is the joker in the pack and will likely test your
patience more than anything else.
Right now, I am focused on the LT charts and trust that they will play out.
As mentioned, I feel we are more in a corrective phase, and even though the chart has come back R0.60, the correction is currently not big enough (famous last words).
Technically, the chart gives me some confidence based on the fact that a lower move starts to test the thin part of the cloud.
Because I feel this is a correction, I would start buying Dollars under R17.90.
“Don’t be a hero. Don’t have an ego. Always question yourself and your ability. Don’t ever feel that you are very good. The second you do, you are dead.” – Paul Tudor Jones