Divergence after divergence after divergence... on MYR....

 Less than a month after my last trip back, I am again heading home to KL, I am travelling alone this time.

Why? It is my brother's birthday. The is only my mother and the maid at home, not much to celebrate, which is why I am heading home. 

It is also in the coming week that the Malay community celebrate their Hari Raya Puasa after a month of fasting during Ramadan. It is a big event for the Malay as well as the Muslim worldwide.

Since I am heading for Malaysia, I might as well conduct a read on MYR. My last update on MYR was Did SGD get weaker? dated 19th November 2023. The entry was due to my suspicion that SGD might get weaker than MYR in the near future.

The entry focused on SGD and MYR was not really analyzed. Since then, MYR turned weaker against SGD.  

Fig 1. MYR weekly chart

From the chart, MYR further weakened against USD. However, it barely broke its previous high before retreating, an indication of weakness. 

As can be seen from the chart, there are multiple divergences on MACD every time MYR reached a new high. 

In the short run, there is a sign for continuation downtrend, I suspect there will be support between 4.62 to 4.67. This also coincide with the 55-week moving average support level. 

Is MYR itself is strengthening? 

Let's check a second pair, SGDMYR.

Fig 2. SGDMYR weekly chart

Similar behavior is seen on SGDMYR, with numerous divergences, although lesser than USDMYR. This is mainly due to USD less stable than SGD.

I can only use retracement, which yield a support at 3.43, coinciding with its 55-week moving average.

At present, the moving average alignment is still healthy, giving me an impression that MYR itself is on continuation with the recent strengthening a correction.