FxWirePro: USD/ZAR uptrend loses steam, remains on bullish path

• The USD/ZAR dipped on Wednesday as South African rand firmed  investors assessed developments in the Middle East.

• Israeli and U.S. forces pounded targets across Iran, prompting Iranian attacksaround the Gulf as the conflict spread to Lebanon, sent oil prices sharply higher and rattled global markets..

• Global oil and gas prices surged as strikes on Iran disrupted Middle East exports, with Tehran’s retaliatory attacks shutting Gulf shipping routes and halting production from Qatar to Iraq.

• On the data front, South Africa’s private sector activity was unchanged in February, with the PMI steady at 50.0 for a second month, according to an S&P Global survey.

• Immediate resistance is located at 16.406(50%fib), any close above will push the pair towards 16.621(Daily high).

• Strong support is seen at 16.083(38.2%fib) and break below could take the pair towards 16.026(SMA 20)

Recommendation: Good to buy around 16.300 with stop loss of 16.000 and target price of 16.500