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CPI Data Due Wednesday, USDZAR Uptrend Remains Intact

SOUTH AFRICA
  • Key domestic data this week will be September’s inflation readings which are due to be released on Wednesday. Retail sales for August are also scheduled.
  • Despite Thursday’s sharp pullback from the 18.5815 highs, the uptrend in USDZAR remains intact. The pair traded to fresh trend highs last week and breached resistance at 18.2214, the Sep 28 high. This maintains a bullish price sequence of higher highs and higher lows, reinforcing the bull trend condition. A resumption of gains would open the 19.00 handle. Key short-term support remains at 17.5709, the Oct 4 low.

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