USD/MYR Technical Analysis

The Dollar continued to decline against Ringgit this Wednesday and is now trading at 4.1450. Although this is an important support point, sellers seem determined to break it. This recent Ringgit appreciation comes as the Finance Ministry yesterday released its first-ever pre-budget statement, stating that the federal budget for 2022 will be focused on pandemic recovery and rebuilding national resilience. Although the budget still needs to be approved by parliament in October, this news was well accepted by the market, which caused Ringgit to accelerate its gains against most of its counterparts, especially the dollar. From a technical point of view, the next support point is at 4.1200, where buyers re-enter the game and cause some upward momentum.