USDMYR Technical Analysis

The US Dollar was down -0.22% against the Ringgit on Tuesday and is now trading at 4.5600. The USDMYR is close to an all-time high region and at a very important resistance on the daily chart. On the 26th of June, the USDMYR made a lower top than the previous top (from the 4th of November last year) and this shows a predominant exhaustion in the buying force and a possible fall. Investors should pay attention to the interest rate decision for the USD tomorrow by the Federal Reserve (FED). The market expectation is that the FED will raise the interest rate to 5.5%. If the decision is for the rate to remain unchanged at 5.25%, it is possible that the USDMYR will drop significantly in the coming days. A possible downward movement could take the USDMYR towards the 4.5200 region. On the other hand, if the Fed decides to raise the interest rates, the USDMYR could move up to the region of 4.6350.