FxWirePro: USD/ZAR rejects key support at 13.53 mark, upside limited

• USD/ZAR is currently trading around 13.64 levels.

• It made intraday high at 13.68 and low at 13.57 levels.
   
• Intraday bias remains slightly bullish till the time pair holds key support at 13.53 marks.   
   
• A daily close above 13.76 will take the parity higher towards key resistances around 13.96, 14.08, 14.15, 14.50, 14.75, 14.96, 15.05, 15.28, 15.45, 15.66, 15.77, 15.86(February 29, 2016 high) and 16.15 marks respectively.
   
• Alternatively, a daily close below 13.53 will drag the parity down towards key supports at 13.31, 13.19, 13.01, 12.82 and 12.58 levels respectively.
   
• Important to note here that 20D, 30D and 55D EMA heads down and confirms the bearish trend in a daily chart.
   
• South Africa’s November CPI y/y increases to 6.6 % (forecast 6.60 %) vs previous 6.4 %.
   
• South Africa’s November CPI m/m decreases to 0.3 % (forecast 0.35 %) vs previous 0.50 %.
   
• South Africa’s November core inflation y/y stays flat at 5.7 % (forecast 5.7 %) vs previous 5.7 %.
   
• South Africa’s November core inflation m/m decrease to 0.1 % (forecast 0.2 %) vs previous 0.2 %.

We prefer to take short position in USD/ZAR only below 13.53, stop loss at 13.76 and target of 13.31.