USDMYR Technical Analysis

The US Dollar continues to rise against the Ringgit on Thursday, but at a slower pace and is now trading at 4.3580. The recent bullish movement started around April 6th and since then it has accumulated a 3.56% increase. The upward movement is partly due to the possibility of a 0.5% interest rate hike for the USD at the next FOMC meeting in early May. The war in Ukraine and the recent outbreak of Covid-19 in Asia have seen investors abandon high-risk assets and seek safe assets like the USD. From a technical point of view, however, USDMYR is already beginning to show signs of exhaustion from the extensive bullish movement. The next region of interest for sellers is at 4.3660. At the moment it seems unlikely that the USDMYR will be able to break above this level without first making a major pullback.