US Dollar, USD/SGD, USD/MYR, USD/PHP – ASEAN Technical Analysis
- US Dollar may be on the verge of broader gains against ASEAN FX
- USD/SGD and USD/MYR are looking at upside technical breakouts
- USD/PHP consolidation mode prolongs after slight uptick in sentiment
US Dollar, Singapore Dollar, Malaysian Ringgit, Philippine Peso Technical Outlook
The US Dollar rose against some of its ASEAN counterparts such as the Singapore Dollar and Malaysian Ringgit. My ASEAN-based US Dollar index has thus climbed and is testing a key descending trend line from September – red line on the chart below. Increasing fears around the Wuhan virus have been fueling the haven-linked Greenback – as expected. What is the USD/SGD, USD/MYR and USD/PHP technical outlook?
ASEAN-Based US Dollar Index
ASEAN-Based USD Index Created in TradingView
Singapore DollarTechnical Outlook
The US Dollar may be on the verge of confirming an upside technical breakout against the Singapore Dollar. Earlier this week, USD/SGD climbed above key descending resistance from September. Since then, prices have struggled to confirm a further push above the psychological barrier between 1.3559 to 1.3571. Confirming an upside push may precede a reversal of the downtrend from late August. The next resistance area aligns with November peaks (1.3669 – 1.3692). Support sits below at 1.3513 followed by 1.3444.
Learn more about how the MAS conducts monetary policy and what matters for the Singapore Dollar !
USD/SGD Daily Chart
USD/SGD Chart Created in TradingView
Malaysian Ringgit Technical Outlook
The US Dollar may also be on the verge of an upside reversal against the Malaysian Ringgit from a technical standpoint. USD/MYR prices have pushed above the near-term falling trend line from December following the presence of positive RSI divergence – as expected. An upside close through resistance at 4.0850 exposes the next psychological barrier at 4.1070 followed by 4.1225. Resuming the entails taking out support at 4.050 – 4.0550 which is composed of the 2019 low.
To stay updated on fundamental developments for ASEAN currencies, follow me on Twitter here @ddubrovskyFX
USD/MYR Daily Chart
USD/MYR Chart Created in TradingView
Philippine PesoTechnical Outlook
A partial recovery in sentiment on Tuesday sent USD/PHP lower. The US Dollar thus continues to consolidate against the Philippine Peso. Resuming the former downtrend from August to November entails clearing the critical psychological barrier between 50.40 to 50.52. For a push towards the upside, resistance stands in the way between 51.13 to 51.30.
USD/PHP Daily Chart
USD/PHP Chart Created in TradingView
--- Written by Daniel Dubrovsky, Currency Analyst for DailyFX.com
To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter
