FxWirePro: USD/ZAR downside pressure builds ,key support in focus

• USD/ZAR dipped  on Thursday  as US dollar retreated following the latest FOMC meeting minutes and developments on US tariffs.

•  Trump stepped up his tariff strategy Wednesday, slapping 50% levies on U.S. copper imports and Brazilian exports, effective from August 1.

•  In a further escalation, Trump served tariff warnings to seven additional smaller trade partners, adding to the 14 already targeted earlier this week. All are set for enforcement on August 1 if no agreements are reached.

•Minutes from the Fed’s June meeting showed limited support for rate cuts this month, as most policymakers remained cautious due to tariff-related inflation risks.

• On the data front, Statistics South Africa will publish May manufacturing output   at 1100 GMT.

• Immediate resistance is located at 17.891(38.2%fib), any close above will push the pair towards 18.074(SMA 20).

• Strong support is seen at 17.484(Lower BB) and break below could take the pair towards 17.175(23.6%fib)

Recommendation: Good to sell  around 17.750 with stop loss of 18.000 and target price of 17.500