FxWirePro: USD/ZAR steadies around 17.750 ,retains bid tone

• USD/ZAR   steadied around 17.750  on Friday as traders awaited a key U.S. inflation report and domestic data for signals on South Africa’s economic outlook.

• Investors are closely watching the U.S. Personal Consumption Expenditures (PCE) Price Index, the Fed’s preferred inflation gauge, due later today for guidance on the central bank’s rate path..

• South Africa’s data docket on Friday features releases on money supply and private sector credit, alongside trade balance and budget balance figures.

• Traders are currently pricing in an 85% chance of a rate cut in September by Fed, up from 63% a month earlier, according to the CME FedWatch tool.

• The rand, like other risk-sensitive currencies, is often influenced by global factors such as U.S. policy and geopolitical developments.

• At GMT 10:18,the dollar   was up 0.29% at 17.752 against South African rand.

• Immediate resistance is located at 17.774(38.2%fib), any close above will push the pair towards 17. 926(Higher BB).

• Strong support is seen at 17.660(SMA20) and break below could take the pair towards 17.330(23.6%fib)

Recommendation: Good to buy  around 17.700 with stop loss of 17.500 and target price of 18.000