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FxWirePro: USD/ZAR sees bounce after yesterday's fall

• USD/ZAR gained some ground  on  Tuesday  as rand was weighed by soft domestic manufacturing data and firmer US dollar.

• The seasonally adjusted PMI sponsored by South ​African bank Absa fell to 45.8 in August from 46.8 in July, its fourth consecutive monthly ​decline and the lowest reading so ​far in 2026.

•Separately, data from South Africa's automotive industry ‌body ⁠NAAMSA showed new vehicle sales increased 11.4% year-on-year in August, slowing from 11.9% growth in July.

•The U.S. dollar index ​was firmer ​against ⁠a basket of currencies as renewed U.S.-Iran hostilities fuelled inflation worries..

• Like other risk-sensitive currencies, the rand tends ​to take its cues from global developments, including U.S. and domestic economic data and policy signals.

• Immediate resistance is located at 16.194(38.2%fib), any close above will push the pair towards 16.400(50%fib).

• Strong support is seen at 15.923(23.6%fib) and break below could take the pair towards 15.847(Lower BB).

Recommendation: Good to sell around 16.180 with stop loss of 16.250 and target price of 16.000

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