• USD/ZAR steadied against dollar on Friday as south African rand weakened as markets awaited U.S. non-farm payrolls data.
• Investors have been evaluating U.S. labor market data showing continued resilience, while Fed officials have adopted a more cautious tone in their remarks.
• Similar to other risk-sensitive currencies, the rand tends to follow global cues like U.S. economic data when local drivers are limited.
• At GMT 11:15 the pair was trading down 0.40 percent at 19.017.
• Immediate resistance is located at 19.059(23.6%fib), any close above will push the pair towards 19.214(Higher BB).
• Strong support is seen at 18.866(Daily low) and break below could take the pair towards 18.750 (38.2%fib).
Recommendation: Good to buy around 19.000 with stop loss of 18.700 and target price of 19.250.
