Malaysian Ringgit (MYR) End To Bearish Trend

Malaysian Ringgit (MYR) End To Bearish Trend

 The recovery of the Malaysian ringgit removes the need for Bank Negara Malaysia (BNM) to raise its Overnight Policy Rates (OPR).

The recovery of the MYR has removed the need for BNM to hike rates in a bid to stem capital outflows.

The halt of the ringgit slide against the US dollar in June marks the end of a bearish trend.

The ringgit went as low as RM4.32 to the greenback during a prolonged depreciation period that lasted around two years.

It has since improved and is currently valued at RM4.29 to the US dollar.

Technical Analysis

Overall, the bias in prices is: Sideways.

Short term: Prices are stalling.

Intermediate term: Prices are ranging.

The projected upper bound is: 4.31.

The projected lower bound is: 4.27.

The projected closing price is: 4.29.

Candlesticks

A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
During the past 10 bars, there have been 6 white candles and 2 black candles for a net of 4 white candles. During the past 50 bars, there have been 23 white candles and 19 black candles for a net of 4 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 35.3854. This is not an overbought or oversold reading. The last signal was a sell 12 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 49.61. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 21 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -66. This is not a topping or bottoming area. The last signal was a buy 0 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 30 period(s) ago.

Rex Takasugi – TD Profile

FOREX MYR= closed up 0.000 at 4.291. Volume was 6% below average (neutral) and Bollinger Bands were 67% narrower than normal.

Open   High    Low     Close   Volume
4.287   4.295   4.287  4.291   36

Technical Outlook
Short Term:               Neutral
Intermediate Term: Bullish
Long Term:                Bearish

Moving Averages: 10-period  50-period  200-period
Close:                       4.29           4.29            4.37
Volatility:                 1                3                  4
Volume:                   30             39                40

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX MYR= is currently 1.8% below its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of MYR= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on MYR= and have had this outlook for the last 17 periods.

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Ivy Heffernan

From Modeling To Economics; My name is Ivy Heffernan, and I am interested in a wide range of professions. Economics and politics at the age of 16 is easy when your father has a Ph.D in economics, i have been taught to put together technical analyst and stay up to date with the changing markets as well as what is happening in the political world. Modeling: Since a young age i have been fond of modeling, losing over 40.. kgs to achieve my goal at becoming a super model. I have found it to be a more beneficial experience than just looking pretty. It has opened up many doors to my future and has made me quite outgoing, bringing me to my next topic Journalism: I love Traveling and meeting new people, of course my mind always gets wrapped around business, so i decided to turn it into one. I go to events, restaurants, model parties, clubs ect.. to interview people on their businesses and then write an article all about it and the experience. Summary: I think being a well rounded individual on all topics is the most important thing to everyone, with the changing economies it's good to know that no matter what life throws at you, and no matter what job you are given, you'll always be capable.

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