USDZAR Could Multi-year Rally from Bottom Around 13.30 to 13.55
After what we suspect was a wave 3 peak in 2001 at 13.85, the 4th wave structure was a triangle that carried through until early 2012. The triangle thrust measurement back at the vertical of wave 3 suggests a multi-year rally that will reach near to 50 ZAR/USD.
The peak at 17.8187 in January 2016 we suspect was only a 1st wave ((1) of wave 5) of that extended rally. The subsequent new high at 19.3453 in April 2020 was, according to the internal wave mechanics of that rise, actually just an overexuberant upward "b" wave in an A-B-C downward correction comprising the 2nd wave. As a "b" wave, that peak was in itself a triangle that forced the price down in the subsequent decline in the "c" impulse of wave (2) which is nearly complete. We have measurements from wave "b" and from the 4th wave within wave "c" which point to a bottom for wave (2) around 13.55. We suspect that the final bottom will be hit near 13.30 before a major rally ensues in wave (3) of 5.
The peak at 17.8187 in January 2016 we suspect was only a 1st wave ((1) of wave 5) of that extended rally. The subsequent new high at 19.3453 in April 2020 was, according to the internal wave mechanics of that rise, actually just an overexuberant upward "b" wave in an A-B-C downward correction comprising the 2nd wave. As a "b" wave, that peak was in itself a triangle that forced the price down in the subsequent decline in the "c" impulse of wave (2) which is nearly complete. We have measurements from wave "b" and from the 4th wave within wave "c" which point to a bottom for wave (2) around 13.55. We suspect that the final bottom will be hit near 13.30 before a major rally ensues in wave (3) of 5.