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FxWirePro: USD/ZAR outlook weaker on renewed downside pressure

• USD/ZAR slipped on Thursday as risk sentiment improved after Trump ruled out using force over Greenland and dropped tariff threats against European allies.

•Trump said a NATO framework deal had secured permanent U.S. access to Greenland, while NATO’s chief urged allies to strengthen Arctic security to counter threats from Russia and China..

•Trump's softer stance triggered a rally across global markets, with South African rand reaching record levels on Thursday.

•Meanwhile, economic data showed that South African inflation remains under control, which should give the central bank room to cut interest rates this year.

•Like other risk-sensitive currencies, the rand often takes cues from global drivers such as U.S. policy and has gained roughly 2% against the dollar since the beginning of 2026.

• Immediate resistance is located at 16.287(Daily high), any close above will push the pair towards 16.441(SMA 20).

• Strong support is seen at 16.133 (23.6%fib) and break below could take the pair towards 16.031(Lower BB)

Recommendation: Good to sell around 16.200 with stop loss of 16.350 and target price of 16.000

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