FxWirePro: South African rand erases previous gain against U.S. dollar, short term trend reversal likely

• USD/ZAR is currently trading around 12.95 levels.

• It made intraday high at 12.95 and low at 12.86 levels.
   
• Intraday bias remains slightly bullish till the time pair holds key support at 12.85 marks.     
   
• A daily close above 12.95 will take the parity higher towards key resistances around 13.09, 13.17, 13.26, 13.43, 13.50, 13.59, 13.65 and 13.77 marks respectively.
   
• Alternatively, a daily close below 12.95 will drag the parity down towards key supports at 12.85, 12.78, 12.62, 12.58 and 12.44 levels respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart. Current upside movement is short term trend correction only.

Positioning is inconclusive at this point, with prices offering no clear cut signal to initiate a long or short trade. We will continue to remain on sidelines for the time being.