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FxWirePro: USD/ZAR edges higher, set to stay on back foot

• USD/ZAR edged higher on Monday  as South African rand weakened as investors weighed how long the United States' government shutdown will last and its potential impact.

• The U.S. government has halted large parts of its operations after lawmakers failed to agree on a funding deal, a standoff that threatens thousands of federal jobs.

• Investors focused on domestic markets will watch Tuesday’s gold and foreign exchange reserves data and Thursday’s manufacturing production figures for fresh insights into the health of Africa’s largest economy.

• Together, these indicators will be closely analyzed for signs of resilience or weakness in the economy at a time when global uncertainty and policy challenges remain high.

• Immediate resistance is located at 17.325  (SMA 20), any close above will push the pair towards 17.513 (Higher BB).

• Strong support is seen at 17.156 (23.6%fib) and break below could take the pair towards 17.126 (Lower BB).

Recommendation: Good to sell  around 17.300 with stop loss of 17.500 and target price of 17.000

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