FxWirePro: USD/ZAR downside pressure builds, key support level in focus

• USD/ZAR edged lower on Friday after data showed South African business conditions improved for the fifth consecutive month in September.

• Business conditions in South Africa’s private sector improved for a fifth consecutive month in September, supported by increases in output and new orders, S&P Global reported Friday.

•The Purchasing Managers’ Index (PMI) rose slightly to 50.2 in September from 50.1 in August, pointing to a modest improvement in the sector. Readings above 50 indicate expansion, while those below signal contraction.

• The uptick in activity reflected a sustained moderation in cost pressures, with input prices advancing at their slowest rate in nearly twelve months..

 At GMT 09:44, the pair was trading down 0.03percent  at 17.250  .

• Immediate resistance is located at 17.399  (Daily high), any close above will push the pair towards 17.386 (38.2%fib).

• Strong support is seen at 17.137(23.6%fib) and break below could take the pair towards 17.090 (Lower BB).

Recommendation: Good to sell around 17.300 with stop loss of 17.450 and target price of 17.100