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FxWirePro: USD/ZAR set for another leg higher to retest a key fibo

• USD/ZAR strengthen on Monday  as  greenback  firmed as investors looked ahead to U.S. inflation data after Friday's mixed payrolls report.

• The dollar index was up around 0.36%   as markets looked to Wednesday's U.S. inflation report for more clues about the size of a Federal Reserve rate cut expected next week.

 At GMT 14:09, the pair was trading up 0.26 percent  at 17.880 after reaching daily high at 17.957.

• Immediate resistance is located at 18.000  (Psychological level), any close above will push the pair towards 18.054 (50%fib).

• Strong support is seen at 17.8415(38.2%fib) and break below could take the pair towards 17.696 (Sep 2nd low).

Recommendation: Good to buy around 17.940 with stop loss of 17.830 and target price of 18.150

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