The Ringgit Strength Dissected

Home / Market Updates / The Ringgit Strength Dissected
The Ringgit Strength Dissected late see that there is some strength coming in it. Now don’t start partying and think the Ringgit will go below 4 versus the dollar and all is rosy. For that to happen, we still have a long way to go. Current economic conditions still does not warrant such recovery in the Ringgit. In fact I think after the strengthening, the Ringgit could actually weaken further when the FED increases its interest rates again possibly mid year.
 
I have measured the maximum possible Ringgit strength and it comes to 4.37 and the maximum around 4.32 before any reversal to US Dollar strength to occur. If the Ringgit can push to 4.32 then the Ringgit is in a better shape. If the Ringgit pushes to only 4.37, it may just go back into the 4.42 to 4.48 WAWS range again.