# USD/ZAR: Room for a further reversal of the move lower – MUFG — Octa

> MUFG Bank proposed a long USD/ZAR trade with an entry near 15.500, a target of 16.300 and a stop around 15.000. The analysts argue the rand's strong start to 2022, helped by foreign bond buying, is unlikely to last as broad dollar strength builds.

- Date: 2022-01-28 · published 2022-01-28T12:00:00.000Z
- Category: macro · region South Africa · magnitude low
- Page: https://feedsoft.ai/events/43429-usd-zar-room-for-a-further-reversal-of-the-move-lower-mufg-octa
- Commodities: [South African Rand (ZAR per USD)](https://feedsoft.ai/c/USDZAR.md)

## Why it matters

A reversal in USD/ZAR would raise the cost of rand-denominated imports and South African feed inputs. The call rests on the Fed's hawkish signal pushing up US yields and the dollar.

## Read by commodity

- USDZAR: bullish ▲

## Sources

- octaafrica.net: https://www.octaafrica.net/markets/news/view/949653/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.