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FxWirePro: USD/ZAR drops below 16.200 level, heads deeper into bear territory

• USD/ZAR dipped on Friday as   dollar eased  driven by optimism over a potential U.S.-Iran peace deal eased concerns around inflation and high interest rates.

•  Markets were still cautious as traders assessed whether progress in U.S.-Iran negotiations would be sustained, given their implications for oil prices, inflation and global risk appetite.

• Gold prices held broadly steady on Friday and were poised for a fourth straight weekly gain.

• On the data front, next week, domestically focused investors will look to the release of inflation   and retail sales   data.

• Immediate resistance is located at 16.452 (50%fib), any close above will push the pair towards 16.687 (SMA 20).

• Strong support is seen at 16.122(38.2%fib) and break below could take the pair towards 15.944(Lower BB).

Recommendation: Good to sell  around 16.200 with stop loss of 16.400 and target price of 16.000

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