USD/MYR Technical Analysis

The US Dollar continues its strong bullish move against the Ringgit on Tuesday and is now trading at 4.3550. The recent upward movement is due to the new lockdowns taking place in China due to the new Coronavirus outbreak. Major cities and ports are totally closed, causing strain in the global chain of supplies, which has made the Ringgit to lose value in the last few days. Also the USD is gaining power due to the tightening in the monetary policy. The next resistance point is at 4.3650 and the price is expected to reach that level by Wednesday or Thursday. Still, it is possible that the buying force will start to lose strength only when it reaches the region of 4.4450, which is the high of the last ones since 2017.