In a very volatile session, The US dollar has ended flat against the Ringgit this Wednesday, caused by uncertainties around the US inflation and the reopening of the Malaysian borders, which is taking more time than previously thought. This Thursday investors will keep an eye on the GDP and the Initial Jobless Claims, due later today, both from the US. From a technical point of view, if the price makes a full breakout above the 4.1600 level, it will mean further strength to the dollar and the possibility to reach the 4.1750 in the coming weeks.
The Ringgit has been losing ground against the Indian Rupee in the last few days due to optimism as more states are slowly easing pandemic restrictions in India. As India starts to recover from the pandemic, there is also a concern about the increasing inflation in the country, which has hit the highest level since 2017. As inflation hits the door, the interest rate is likely to start increasing again in the mid to long term. From a technical point of view, if the MYRINR breaks below the 17.80, it could fall to the 17.50 and 17.00 in 1 to 2 months.
© 2019 High Leverage FX - All Rights Reserved.
© 2019 High Leverage FX - All Rights Reserved.