• The USD/ZAR rebounded strongly on Monday as dollar rose after U.S. and China agreed to temporarily slash harsh reciprocal tariffs and cooperate to avoid rupturing the global economy.
• In a joint Monday statement, Washington and Beijing acknowledged the importance of their trade ties, boosting market sentiment.
• After weekend talks in Geneva, the U.S. agreed to cut tariffs on Chinese imports from 145% to 30%, and China to reduce duties from 125% to 10% during a 90-day negotiation period.
•This week, South Africa's focus is on Q1 unemployment data due Tuesday and March mining production figures on Thursday.
• On the data front ,Statistics South Africa will release March manufacturing output data at 1100 GMT
•At GMT 14:53, the pair was trading up 0.75 percent at 18.293
• Immediate resistance is located at 18.338(38.2%fib), any close above will push the pair towards 18.663(50%fib).
• Strong support is seen at 18.045(23.6%fib) and break below could take the pair towards 17.916(Lower BB)
Recommendation: Good to sell around 18.280 with stop loss of 18.00 and target price of 18.500
