USDMYR Technical Analysis

The US dollar continued to rise against the Ringgit on Wednesday and is now trading at 4.5890. The bullish move comes after the breakout of the resistance region on the daily chart at 4.5300. At the moment USDMYR is testing the resistance of 4.5800. If the price manages to stay above this level for at least 2 days, the uptrend is likely to be confirmed. On the other hand, the more the price rises, the more it enters the overbought region of the Relative Strength Index indicator (RSI). The 14-period RSI reading at this time is 84.42. Readings above 70 tend to show an overbought market and buyers could show signs of exhaustion at any time. A downward move could bring the USDMYR down to the 4.5200 region where it should find support to resume the bullish move.