• The USD/ZAR rose to one month high on Wednesday after data showed headline consumer inflation fell slightly more than expected in September.
• South Africa's inflation fell significantly in September, reaching its lowest level in over three years. This sharp decline is fueling expectations for another interest rate cut by the central bank in the upcoming month.
• Annual consumer price inflation in South Africa slowed to 3.8% in September, down from 4.4% in August, according to data from Statistics South Africa.
•At GMT 15:46, the pair was trading down 2.02 percent at 17.861
• Immediate resistance is located at 17.952 (23.6%fib), any close above will push the pair towards 18.000(Psychological level).
• Strong support is seen at 17.769(50%fib) and break below could take the pair towards 17.632(61.8%fib)
Recommendation: Good to buy around 17.800 with stop loss of 17.550 and target price of 18.000
