The insights into exotic pairs: the ZAR

The South African currency was named as one of the most volatile emerging-market currencies by some analysts and its recent behavior may prove this statement. 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 rand and set the key levels for this week’s trading.    The key event in South Africa which pushed the USD higher against the South African currency is the rate decision by the South African Reserve bank. The central bank left its interest rate unchanged at 6.75% on Thursday and projected only one rate hike by the end of 2021. The reason behind this cautious tone is connected with the changes to the inflation outlook by the bank. The bank cut its inflation forecast for 2019 from 5.5% to 4.8%.  Let’s not forget about the global market. The recent risk aversion was created after the news about the global economic slowdown. The slowdown happened as a reaction to trade uncertainties between the US and China, the news on China's low economic growth and the cut of the global growth forecast by the International Monetary Fund.  What will support the ZAR this week? The economic calendar does not contain any important data for the USD this week that is why it is recommended to pay attention to the news about the trade war and comments by the leaders during the World Economic Forum in Davos.

Let’s take a look at the key levels for USD/ZAR.  On the daily chart, the pair has been making gains towards the 13.98 level. If the pair manages to break the resistance, the next resistance is placed near the 50-day MA at 14.13. Despite the upward momentum, the trend is still bearish according to the Parabolic SAR. If USD/ZAR reverses, it will fall to the support at 13.8122. If this level is broken, the next support lies at 13.6640.


Latest news

Risk On: Market Outlook for May 16-20
Risk On: Market Outlook for May 16-20

Gold is about to break the most significant support. The US dollar index keeps gaining momentum. However, the situation might change this week, and we might see a tiny correction. Investors might return to risk-on and push the US stock market indices and cryptocurrencies to the upside. These and more trade ideas are in our new weekly video! Do not miss it!

IT CAN'T BE REAL | 5 assets to trade on May 9-13
IT CAN'T BE REAL | 5 assets to trade on May 9-13

This week is likely to be pivotal for many assets, including gold, USD, and several stocks. However, we need to be focused and react fast to the ever-changing environment to get the most from it.

Deposit with your local payment systems

Be on top of your game

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera