FxWirePro: South African rand rises on the back of higher than expected CPI, core CPI data

• USD/ZAR is currently trading around 14.26 levels.

• It made intraday high at 14.36 and low at 14.25 levels.
   
• Intraday bias remains slightly bearish for the moment.
   
• A daily close above 14.32 will take the parity higher towards key resistances around 14.50, 14.78 and 14.99 marks respectively.
   
• Alternatively, a daily close below 14.32 will drag the parity down towards key supports at 14.22, 14.08, 13.94, 13.72 and 13.53 levels respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
   
• South Africa Nov 2018 CPI mm decrease to 0.2 % (forecast 0.1 %) vs previous 0.5 %.
   
• South Africa Nov 2018 core inflation mm increase to 0.2 % (forecast 0.1 %) vs previous 0.1 %.
   
• South Africa Nov 2018 CPI NSA increase to 109.6 vs prev 109.4.

We prefer to take short position on USD/ZAR only below 14.22, stop loss at 14.47 and target of 13.94.