FxWirePro: USD/ZAR edges higher ahead of South Africa PPI data

• USD/ZAR edged higher on Thursday   as investors awaited release of local producer inflation data.

• Economists surveyed by Reuters expect year-on-year producer inflation to rise to 1.8% in August, up from 1.5% in July  . .

• Inflation in Africa’s largest economy has remained well-contained this year, enabling the central bank  to cut its key interest rate three times. At this month’s policy meeting, it paused further cuts to assess the impact of earlier reductions. .

•Focus also turns to U.S. economic data, including Thursday’s Q2 GDP final and Friday’s PCE inflation report, the Fed’s preferred gauge

 At GMT 09:24, the pair was trading up 0.07 percent  at 17.294   .

• Immediate resistance is located at 17.406 (38.2%fib), any close above will push the pair towards 17.436(SMA 20).

• Strong support is seen at 17.211 (23.6%fib) and break below could take the pair towards 17.145(Lower BB).

Recommendation: Good to buy around 17.300 with stop loss of 17.600 and target price of 17.150