USDMYR Technical Analysis

The US Dollar rose slightly against the Ringgit only to come back and is now trading at 4.1890. Throughout this week, the economic agenda can bring several indicators about the health of the US economy. One of the most awaited is the Producer Price Index, scheduled for later and which measures inflation from the producer’s perspective. If the reading comes in higher than expected, it could cause a bullish move for the USD. But the most important macro event is the FOMC Minutes, to be released on Thursday, as these Minutes may provide important clues about the Fed’s future stance on monetary policy and possible interest rate hikes in March. From a technical point of view, USDMYR remains lateralized within a triangular formation. If the price manages to break above 4.1930, it can move up to 4.2130 in a day or two.