• The USD/ZAR slipped lower on Friday as four-week losing streak, supported by firmer gold prices and a subdued dollar, while lower oil prices also offered relief to the net energy importer.
• Prices of gold, a major South African export, rose more than 1% on Friday, while the US dollar traded flat against a basket of currencies as market players weighed lingering inflation concerns and the outlook for Federal Reserve interest rates.
•Oil prices fell as Middle East supply concerns eased after US President Donald Trump said the country would not attack Iran before elections next month
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• The rand often takes cues from global factors such as U.S. economic data, commodities price alongside domestic economic developments.
• Immediate resistance is located at 16.690 (38.2%fib), any close above will push the pair towards 16.815(Higher BB).
• Strong support is seen at 16.494 (50%fib) and break below could take the pair towards 16.424(SMA 20)
Recommendation: Good to buy around 16.450 with stop loss of 16.300 and target price of 16.700
