Spectacular fireworks in Malaysia (not for the better)

I am not sure if this this on International news but it is definitely buzzling for every Malaysian.

There was supposed to be a highly anticipated event yesterday when the UMNO Prime Minister Najib was supposed to attend a "nothing to hide" forum with a no-hold-bar talk with NGO. Much anticipated but he was a no show.

For some reason, I was not surprised with this since I have never regard him man enough to do so. Ever since he took office, there is not a single instance where he show any spine in standing up to answer the lots of questions about his administration, most importantly, who actually runs the Government? Many including me have foregone conclusion that the real prime minister is Rosmah, Najib as I can see is more of a hen peck husband.

It is really a wonder why the people in UMNO maintain their support to him? My guess must be that he does not know how or even bother to control hi people and it is their last ditch attempt to dig the last gold out of Malaysia.

The worst is that Mahathir took the podium and half way into his speech which is really damaging to Najib's credibility, he was stopped, sighting security reason. In actual fact, some one does not want him to speak up.

As it turns out, a "nothing to hide" talk with NGOs ends up with an "everything to hide" event. Lots of reason were given for Najib's non-appearance ranging from "he was leaving his house when IGP called for the cancellation" to "it was not a peaceful discussion". Seriously, the only reason I see is that he chicken out.

Anyway, the fire works is not about Najib but I want to talk about SGD MYR. I have blogged a few times on this counter a few times, with past blog mentioned of a minimum objective of MYR2.75 to the most recent one when I observed weakness in the leading indicators.

So what happened to MYR lately? Well, for a start it reached the minimum objective of MYR2.75 and the weakness observed on the indicators have still not been reversed.

Fig 1 SGD MYR Weekly chart

If one analyse the chart, he will note that with a higher high on MYR (meaning weaker), it did not translate to a higher high on the indicators. This I would see to be troubling. In fact, The RSI has been showing divergence since end 2014.

So the question is, "where is it going now?"

since the weekly chart is on a higher time line, let's go lower.

 Fig 2 SGD MYR Daily chart

Between April till end of May 2015, a triangle was formed and broke out going up-wards. and based on the triangle measurement, we should be seeing a further high since the MYR has not reached its minimum objective of MYR2.76.

The thing is that the indicators seen here are pretty toppish and I figure that there may be a mild retracement of MYR before shooting towards its final destination of MYR2.76 per SGD.

For some reason, Najib's no show at the event seems to help strengthen MYR a little since it ended lower, but nope, no shooting star.