After the bullish start of the year, the rand has started to weaken since the last Thursday. Let’s point out the main factors affecting the ZAR and set the key levels for this week’s trading.
Banks’ preview: NFP, unemployment rate and average hourly earnings
The consensus expectation for the US NFP – 178K jobs. That is stronger than the 138K in May. A number like that (or any other number above 118K) will probably not deter the FED from their planned path. An additional hike is still expected this year as well as a run-off of the QE.
Our expectations in brief: the jobless rate is unchanged at 4.3%; average hourly earnings picking up slightly from 0.2% to 0.3%; probably weaker jobless claims.
If we look at the daily charts of the US dollar index and the USD/JPY pair, we will see a misleading trend.
Britain has to leave the European Union in 66 days. Will it leave with a trade deal (good for the GBP) or without one (bad for the GBP)?
The market is likely going to continue declining. The main intraday target is the next support at 1.1526 - 1.1508...
Bullish Ichimoku Cloud with horizontal Senkou Span A and B; a golden cross of Tenkan-sen and Kijun-sen with horizontal lines; the market is under strong resistance and prices entered into the channel Tenkan-Kijun.
AUD/CAD falling inside impulse waves 3 and (C) Next sell target - 0…