The USDZAR pair has broken below the channel, signaling a shift in market sentiment toward bearish momentum. The price is currently retesting the trendline, which now serves as a potential resistance area.
If the price confirms rejection at the retest of the trendline, I anticipate a bearish move targeting the 18.66384 level, which represents a logical target for this setup.
This setup highlights the potential for a trendline break-and-retest continuation to the downside. Traders should look for bearish confirmation signals, such as bearish engulfing candles or rejection wicks, before considering short positions.