Menu

Search

  |   Technicals

Menu

  |   Technicals

Search

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

• USD/ZAR traded lower on Friday as the South African rand advanced amid broad-based dollar weakness following softer-than-expected U.S. jobs data, which eased expectations of a near-term Fed rate hike.

• Domestic investors focused on the June S&P Global whole-economy PMI , which showed South Africa's private sector returned to modest growth as easing price pressures helped ​offset a ​second consecutive ⁠monthly decline in output and new orders.

•A manufacturing PMI on Wednesday showed that South ​African factory sentiment deteriorated in June, though lower ​oil ⁠prices boosted confidence about future business conditions.

•Like other emerging-market currencies the ​rand tends to take direction from global factors, including U.S. economic ‌data ⁠and geopolitical developments.

• Immediate resistance is located at 16.393 (SMA 20) any close above will push the pair towards 16.470(50%fib).

• Strong support is seen at 16.158(38.2%fib) and break below could take the pair towards 16.096(Lower BB).

Recommendation: Good to sell  around 16.300 with stop loss of 16.450and target price of 16.150

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.