© Dukascopy Bank SA
Greenback seems to be gaining against most of its counterparts, both in the short and longer terms. No different is the cross with the South African rand. Pair has already appreciated 2600 pips since the recent bounce from the pattern's support and 6900 pips since the pattern's beginning on the 7th of August. Pair was somewhat range bound (9.6—10.4) before that (end of may to the end of July). As history shows the pair is capable of gaining significant momentum, which seems to be driving the pair at the moment as well. This is also reflected in a high magnitude rating of this pattern. Only issue seems to be the 4.5 year high at 10.4, which could cause a sell off.
© Dukascopy Bank SA