USD/MYR, USD/SGD, USD/INR, USD/PHP, Talking Points
- US Dollar may fall against the Malaysian Ringgit as reversal pattern brews
- Singapore Dollar still vulnerable vs USD as rising support from July holds
- Indian Rupee eyeing gains, Philippine Peso consolidating ahead of the BSP
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USD/MYR Technical Outlook
The US Dollar may be vulnerable against the Malaysian Ringgit after USD/MYR formed a Bearish Head and Shoulders Pattern. Confirming it requires a daily close under 4.1630 which may open the door to a test of potential rising support from March (red line on the chart below). On the other hand, a close above the psychological barrier between 4.1950 and 4.2000 would overturn the candlestick formation.
To stay updated on fundamental developments for ASEAN currencies such as SGD and PHP, you may follow me on Twitter here @ddubrovskyFX
USD/MYR Daily Chart
USD/SGD Technical Outlook
The Singapore Dollar remains in consolidation mode against the US Dollar, with rising support from July still maintaining the cautious upside bias in USD/SGD. A break under the trend line exposes the psychological barrier between 1.3707 and 1.3725 which if taken out, opens the door to a reversal of the dominant uptrend. Otherwise, resuming gains entails overcoming the 1.3808 - 1.3836 resistance barrier.
USD/SGD Daily Chart
USD/SGD Chart Created in TradingView
USD/INR Technical Outlook
Meanwhile, the Indian Rupee continued its cautious progress against the US Dollar. Though USD/INR struggled to confirm a close under support at 70.85. The Rupee may accelerate its gains if the currency takes out the psychological barrier between 70.58 and 70.41 afterwards. Otherwise, waiting for USD/INR above current levels is resistance at 71.52 followed by 71.82.
USD/INR Daily Chart
USD/INR Chart Created in TradingView
USD/PHP Technical Outlook
Like the Singapore Dollar, the Philippine Peso also remains in persistent consolidation mode against the US Dollar. Fundamentally, this may be due to traders hesitating to commit ahead of this week’s BSP interest rate announcement. A daily close under 51.85 places USD/PHP at risk to resuming losses from the August peak. On the flip side, clearing 52.42 may pave the way for another retest of 52.87 on the chart below.
Read this week’s ASEAN fundamental outlook to learn more about the Philippine Central Bank rate decision
USD/PHP Daily Chart
USD/PHP Chart Created in TradingView
FX Trading Resources
- Just getting started? See our beginners’ guide for FX traders
- Having trouble with your strategy? Here’s the #1 mistake that traders make
- See how the US Dollar is viewed by the trading community at the DailyFX Sentiment Page
--- Written by Daniel Dubrovsky, Currency Analyst for DailyFX.com
To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter
