USDMYR Technical Analysis

Earlier in the day the US Dollar showed strong buy-in against the Ringgit but was later rejected causing the USDMYR to trade close to the opening price at 4.2240. The initial move was caused by the release of the Initial Jobless Claims data, which brought a reading much lower than the forecast (187k real against 212k forecast). Still, the buying sentiment was not able to keep up due to the intensification of the war in Ukraine and NATO’s decision to send approximately 40,000 troops to countries bordering Russia. From a technical point of view, the daily chart’s candlestick shows strong entry from sellers, which could cause the USDMYR to fall to the 4.2050 level, where it might find some temporary support.