AmBank Research expects ringgit to trade within 3.8850 and 3.8827 vs USD today

AmBank Research expects ringgit to trade within 3.8850 and 3.8827 vs USD today
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KUALA LUMPUR (Feb 20): Ambank Research expects the ringgit (MYR) to trade within its support levels of S1: 3.8850 and S2: 3.8827 and resistance of R1: 3.8879 and R2: 3.900 versus the US Dollar with a widening MACD gap, while the relative strength index is envisaged to be in the stable region.

In its AMBankFXDaily report today, the research house said the MYR gained against the dollar by 0.08% to 3.8910.

It said crude oil prices i.e. WTI and Brent rose 1.3% to US$62.50/barrel and 1.5% to US$65.79/barrel respectively, as tensions between Israel and Iran intensifies after Iran responded to Israeli PM Netanyahu's speech in Munich's Security Conference.

“Meanwhile, the KLCI rose 1% to 1,857.32 with net inflow of foreign funds at RM164.3 million.

“Meanwhile, the 5- and 7-year Malaysian Government Securities yields remained unchanged at 3.590% and 3.985% while the 10-year yield fell 1bps to 4.020%.

“The MYR strengthened against regional peers i.e. Singapore dollar by 0.5% to 2.9662, baht by 0.3% to 8.0649, peso by 0.4% to 13.4791 and rupiah by 0.4% to 3,484.97. The 5-year CDS fell 4.28% to 59.92,” it said.