A well defined trend versus a year’s worth of resistance potentially turning into support. For those of you who have never seen this cross, it’s the us dollar versus the south african rand. I’m presenting this to you as an idea for discussion. In the lull tonight I poked around some of the exotics and found this. If you are a believer in further dollar weakness busting through this level leaves room for up to 600 pips.
On the other hand, if you are a believer in us dollar strength it’s not a bad spot to put on a speculative (and smaller) long with a tight stop.
**If you’ve never traded an obscure pair like this, do be careful. Spreads are nuts and expand and contract at the whims on the market gods.**
