USD: Uptrend to continue

 USD Index broke above its descending triangle at 98 last Friday. With this upside breakout, USD Index is likely to continue with its prior uptrend. This is contrary to my earlier expectation that USD Index is poised to reverse (here).


Chart 1: USD Index's weekly chart as at Nov 6, 2015 (Source: Stockcharts.com)

With USD Index having a bullish breakout, USD-MYR is likely to move in the same direction: UP. This morning, we can see USD-MYR has surpassed the 4.35 mark. A retest of the recent high at 4.40 mark is likely this week


Chart 2: USD-MYR's daily chart as at Nov 9, 2015_8.15am (Source: investing.com)

Another round of weakening of MYR will likely be negative for our equity but positive for CPO.