Fundamental Overview
▪ MYR depreciated slightly by 0.9% against the USD last week mainly due to resurgence of COVID-19 cases in Europe, renewed US-China tensions, and lower average Brent crude oil price.
▪ MYR is expected to trade slightly higher this week on potential recovery of Brent crude oil prices following concern over the Suez Canal blockage which could disrupt the oil supply from Middle East to Europe and the US. Nonetheless, the upside would be capped by the increasing threat from a resurgence of COVID-19.
Technical Analysis
▪ Looking at the EMA technical indicator, MYR is expected to appreciate by 0.27% to 4.136 against USD this week, highlighting a potential bullish comeback for the local note.
▪ From a technical view, the US dollar is expected to reverse its bullish momentum.TheUSDMYRpair faces an immediate support level of (S1) 4.126. Inversely, a break above resistance of (R1) 4.158, followed by (R2) 4.168 is needed to reaffirm bullish momentum for the USD.
Source: Kenanga Research - 29 Mar 2021
Created by kiasutrader | Aug 26, 2024
Created by kiasutrader | Aug 26, 2024