The USD/MYR has seen a move lower today as the currency pair ebbs near the 4.4245 ratio having come off highs around the 4.4675 vicinity from Tuesday of this week.
Global financial institutions are showing signs of USD centric selling, and the USD/MYR has seen a solid bearish short-term trend emerge the past couple of days. The USD/MYR as of this writing is near the 4.4245 ratio, which is a solid drop from the 4.4675 mark seen a couple of days ago. The USD/MYR is correlating to the broad Forex market, but the Malaysian Ringgit had also been able to show signs of stability even when other major currencies were looking vulnerable in recent weeks.
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The USD/MYR remains an attractive speculative currency pair to wager on for day traders because of its price fluctuations while also exhibiting trends that are technically efficient. The USD/MYR via it downturn the past couple of days is now within the lower vicinity of three month technical perspectives, but still above lows which opens the consideration that further depths could develop.
Support Levels Around 4.4000 and Speculative Wagers
Behavioral sentiment among financial institutions likely remains rather fragile regarding global economic outlooks because of the shadow U.S White House policy is causing, but there have been signs emerging the USD is starting to take on a weaker mindset among traders. Speculators will be hard pressed to prove every narrative being heard is correct, but the USD/MYR appears to be reacting to the notion that too much risk premium had been priced into the USD, and now the risk premium values are starting to erode.
Support levels in around the 4.4000 ratio for the USD/MYR look to be rather interesting targets for traders, but this level may prove too ambitious for day traders. Thus looking for lower moves that capture profits around 4.4100 – 4.4200 and cashing them out may remain the flavor of the day for selling positions which have limited funds available for trades which may be take too much time. Patience is needed and there are no guarantees, but the USD/MYR has traversed the 4.40000 ratio in late January and on the 24th of February.
Current Risk Taking Sentiment and the USD/MYR
The USD/MYR is not a heavily traded currency pair. Tomorrow the U.S will release its jobs data, but as long as the U.S statistics come in around the estimates the numbers may not influence Forex as much as current behavioral sentiment.
- Certainly risk appetite in the USD/MYR can change abruptly, particularly when there is a chance for volatile rhetoric from the U.S White House at any moment.
- However, if financial institutions remain somewhat calm over the next two days the USD/MYR may continue to see an exploration of lower depths.
- Yes, there will be reversals higher too, traders need to use risk management, but the potential of a slightly more aggressive bearish trend proving worthwhile it tempting.
USD/MYR Short Term Outlook:
Current Resistance: 4.4285
Current Support: 4.4215
High Target: 4.4320
Low Target: 4.4140
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