• USD/ZAR eased slightly from six month high as investors took profit on dollar longs ahead of Friday’s payrolls data.
• US dollar has strengthened strongly this week, driven by expectations of slower-than-anticipated rate cuts by the Federal Reserve and uncertainty surrounding the incoming U.S. President's policies..
• With U.S. markets closed on Thursday, focus shifts to Friday's payrolls report as investors evaluate the data to determine when the Fed might cut rates next.
• At GMT 11:15 the pair was trading down 0.14 percent at 18.869.
• Immediate resistance is located at 19.008 (23.6%fib), any close above will push the pair towards 19.202(Higher BB).
• Strong support is seen at 18.747(38.2%fib) and break below could take the pair towards 18.542 (50%fib).
Recommendation: Good to buy around 18.800 with stop loss of 18.600 and target price of 19.150.
