FxWirePro: USD/ZAR neutral in the near-term, scope for downward resumption

• USD/ZAR traded in narrow range  on Tuesday as investors awaited the release of South Africa's inflation data and an interest rate decision later this week.

 •  South Africa's Bureau for Economic Research is scheduled to publish its third-quarter inflation expectations survey on Wednesday .

•  Investors are closely watching to see if persistent inflation and uneven consumer demand will prompt the South African Reserve Bank to stick with its cautious policy stance.

•South Africa’s central bank is set to announce its latest monetary policy decision on Thursday. The move comes against the backdrop of persistent inflationary pressures  and concerns over sluggish economic growth.

• At GMT 11:50,the dollar   was little changed 0.00% at 17.340 against South African rand.

• Immediate resistance is located at 17.423(Sep 12th high), any close above will push the pair towards 17.5110(38.2%fib).

• Strong support is seen at 17.305(23.6%fib) and break below could take the pair towards 17.235(Lower BB)

Recommendation: Good to sell  around 17.400 with stop loss of 17.600 and target price of 17.200