USDMYR: Further upside now looks out of favour – UOB

In the view of Markets Strategist Quek Ser Leang at UOB Group’s Global Economics & Markets Research, USDMYR could extend further the corrective decline.

Key Quotes

“The uptrend in USD/MYR appears to have ended as it plunged by 2.55% last week. Strong downward momentum suggests the pullback in USD/MYR has room to extend.”

“In view of the oversold conditions, a sustained decline below 4.5500 is unlikely this week. On the upside, a break of 4.6500 would indicate that the weakness in USD/MYR has stabilized.  Looking ahead, the next support level below 4.5500 is at 4.5200.”