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FxWirePro: USD/ZAR drops below 18.500 level as traders assess Trump's tariff plans

• USD/ZAR dipped   on Tuesday  as a lack of clarity on President Donald Trump's plans for tariffs weighed on greenback.

• Trump refrained from immediate tariff actions, a key concern for global markets, but indicated that tariffs on Canada and Mexico could be imposed soon.

• On the data front, South Africa's inflation rate rose for the second month in a row in December but by less than expected.

•Consumer inflation rose to 3.0% in December from 2.9% in November, driven by housing and food, according to Statistics South Africa.

• At GMT 14:18 the pair was trading down  0.02 percent  at 18.490.

• Immediate resistance is located at 18.740(38.2%fib), any close above will push the pair towards 18.899(Jan 16th high).

• Strong support is seen at 18.423(50%fib) and break below could take the pair towards 18.321 (Lower BB).

Recommendation: Good to sell around  18.600 with stop loss of 18.760 and target price of 18.300

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