This report is an ad hoc report as I am seriously concerned about the Dollar / Rand.
Below are Weekly – 240 min time frames to illustrate my concerns.
The good news for you is that when I am concern about a market, it usually takes another 3 – 6 weeks to play out as I am known for being early!
Better early than late as my father would say, and if I were to timestamp a date, I would say that we should expect a big move before 8 November 2021.
The kind of move I forsee playing out will be expolsive, and has the potential to be another Sunday night “Nene Gate” and could print R18.33!
While I have no idea what would precipitate a move of this magnitude, the current price action and long term chart formations give impetus to my view.
The weekly charts look set to blow, keeping in mind they can still take a few weeks, while the daily’s and 240 min are anything other than bearish.
In closing this quick fire report is here to stress that you can only be LONG USD or SQUARE, short USD is not an option and although being long hurts as the carry is not your friend, right now it’s the most pertinent risk management position to have.
“Living with fear stops us taking risks, and if you don’t go out on the branch, you’re never going to get the best fruit.” – Sarah Parish