# External pressure eases for the Malaysian ringgit, though US bond yields still pose a risk

> The ringgit slipped in Thursday's Asian session as the US dollar and Treasury yields firmed, but some external pressure faded overnight. OCBC's Christopher Wong sees supportive domestic fundamentals and potential for the recent weakness to reverse once post-Fed moves stabilize, although another rise in yields or the dollar would keep trading cautious.

**Type:** article · **Category:** Market · **Published:** 2026-09-18 · **Source:** TrendKia
**Canonical:** https://trendkia.com/en/market/bahari-dabava-se-malaysian-ringgit-ko-rahata-lekina-ameriki-bonda-upaja-aba-bhi-jokhima-33341 · **Language:** English
**Tags:** Malaysian ringgit, US dollar, US Treasury yields, crude oil, Bank of Japan, foreign exchange market, finance

The Malaysian ringgit came under pressure in Thursday's Asian session as the US dollar firmed and US Treasury yields climbed after the FOMC meeting. USD/MYR moved briefly above 4.10, but the move was orderly rather than disorderly, with no clear evidence of stress specific to Malaysia. OCBC's Christopher Wong sees supportive domestic fundamentals and believes the recent weakness could reverse as post-Fed market moves settle, although another rise in the dollar and yields would keep the currency cautious.

## External pressure loses some force
Wong linked the decline to the simultaneous firming of the dollar and US Treasury yields. The pair's move above 4.10 did not look disorderly, and the available market picture showed no distinct Malaysia-specific strain. Overnight, the dollar and yields retreated from their highs, while oil also pulled back, which removed part of the pressure on the ringgit.

The near-term bias remains cautious if US yields and the dollar push higher again. Wong expects the post-Fed moves to become less disruptive as they settle. If that happens, the recent weakness has room to reverse because domestic fundamentals remain supportive.

## Chart momentum stays positive, although RSI is stretched
On the daily chart, bullish momentum is still intact, but RSI has entered overbought territory. A failure to attract additional upside follow-through could send USD/MYR lower and allow it to close the earlier post-holiday gap. The chart identifies support at 4.0870 and 4.0730, with the latter marked as the 50 DMA. Resistance in the current area is at 4.10 and 4.12.

## Live crude-oil snapshot adds context
Oil's softer tone is part of the backdrop behind the easing pressure. The live close-bell snapshot dated September 18, 2026 puts crude oil at $95.27, compared with a previous close of $101.91 and a 6.52% decline. The 52-week range is $54.98 to $119.48, and volume is 0.98x the 20-day average.

The technical picture is mixed. RSI (14) is 55, while MACD stands at 4.72 against a 4.26 signal and the histogram is 0.46, which is bullish. EMA20 is $94.33, EMA50 is $88.91 and EMA200 is $79.21; SMA50 is $86.30 and SMA200 is $80.65. The price remains in a long-term uptrend, with EMA50 above EMA200 forming a golden cross.

Bollinger (20,2) spans $77.53 to $107.65, with a midpoint of $92.59, and the price is inside the bands. ADX (14) reads 33, indicating a trend. The stochastic fast line is 49 and the signal line is 71. ATR (14) is 4.46, which can serve as a stop-loss buffer for daily volatility. The 20-day support is around $79.62, while resistance is around $106.75.

The pivot is $96.04. For entry, stop-loss and target planning, the first and second resistances are $97.24 and $99.22, while the first and second supports are $94.06 and $92.86. These levels come from the same current crude-oil snapshot.

## Australian dollar and yen send different signals
During Friday's Asian session, AUD/USD remained above 0.7100 for a second consecutive day. Softer US bond yields reduced the immediate advantage for dollar buyers, while RBA Governor Bullock's hawkish remarks increased expectations of a rate increase and supported the Australian currency. The pair's upside was still restrained because the Fed maintained a hawkish stance and geopolitical uncertainty prevented a larger dollar decline.

USD/JPY turned upward again in Friday's European session, reaching two-week highs and moving close to 158.00. The yen continued to weaken even though a Bank of Japan rate increase to 1.25% was expected and Governor Kazuo Ueda sounded hawkish. Two unexpected dissents against the increase added to the yen's pressure.

## Gold finds support as Japan shifts policy
Gold extended the improving tone seen later in the week, trading with solid gains slightly below $4,400 per troy ounce on Friday. Falling crude oil prices and renewed selling against the US dollar helped sustain the advance.

The Bank of Japan lifted its short-term interest-rate target from 1.00% to 1.25% in a 7-2 vote. The decision marked another step in monetary-policy normalization and broadly matched expectations that had been building for weeks. Governor Kazuo Ueda said the policy phase had changed.

## What comes next for the ringgit
The ringgit's next move will depend heavily on whether the dollar and US yields stay off their highs. A renewed climb would make MYR trading cautious, while a settlement in post-Fed moves could allow the recent weakness to reverse, especially with domestic fundamentals still supportive.

## What this means for you
The ringgit and crude oil are both showing sharp market movement, so currency traders and readers following energy markets should watch the nearby levels closely.

- **Ringgit traders:** A fresh rise in the dollar and US yields could keep the ringgit cautious. The 4.10 and 4.12 resistance levels, along with support at 4.0870 and 4.0730, provide reference points for managing entries and risk.
- **Crude-oil watchers:** Crude oil is at $95.27, down 6.52% from the previous close of $101.91. That is an immediate bearish price signal, although the longer-term technical readings remain mixed.
- **Risk management:** ATR (14) is 4.46, which reflects daily volatility. Using that figure as a stop-loss buffer can help avoid a stop that is too tight for the current movement.
- **Other currency pairs:** AUD/USD is above 0.7100 and USD/JPY is near 158.00. These moves show that dollar trends, yields and central-bank signals are moving several currencies at once.
- **Gold watchers:** Gold was slightly below $4,400 per troy ounce with solid gains on Friday. Lower crude prices and fresh selling pressure on the dollar supported the metal, so both signals deserve attention.

## Why this happened
The analysis links the ringgit's weakness to a firmer US dollar and higher US Treasury yields after the FOMC meeting in Thursday's Asian session. USD/MYR moved above 4.10 in an orderly move, with no clear sign of Malaysia-specific stress. Overnight, the dollar and yields retreated from their highs and oil pulled back, easing part of the pressure.

- **Direct cause:** The dollar's firming and the rise in US Treasury yields strengthened the external headwind for the ringgit. That combination pushed USD/MYR briefly above 4.10.
- **Conditions that softened it:** The dollar and yields moved off their highs overnight, while oil also pulled back. Those changes reduced some of the immediate pressure on the currency.
- **Technical backdrop:** Bullish momentum remains intact on the daily chart, but RSI has moved into overbought territory. If upside follow-through does not develop, USD/MYR could turn lower and fill the holiday-period gap.
- **What may come next:** A renewed rise in the dollar and yields would keep MYR trading cautious. If post-Fed moves settle and domestic fundamentals stay supportive, the recent weakness has room to reverse.
- **Earlier context:** The information mentions a gap created after the holiday period, but it does not establish an earlier crisis or its outcome. The reversal view is therefore based on the current market setup and technical levels.

## Questions & Answers

### 1. Why did the ringgit weaken in Thursday's Asian session?
The US dollar firmed and US Treasury yields rose after the FOMC meeting. That pushed USD/MYR briefly above 4.10.

### 2. Did the move signal stress specific to Malaysia?
No. The move was orderly and showed no clear sign of Malaysia-specific stress.

### 3. What are the key support and resistance levels for the ringgit pair?
Support is at 4.0870 and 4.0730, with 4.0730 marked as the 50 DMA. Resistance is at 4.10 and 4.12.

### 4. When could the ringgit's weakness reverse?
The weakness could reverse as post-Fed moves settle and supportive domestic fundamentals remain in place. A fresh rise in the dollar and yields would keep trading cautious.

### 5. What does the daily chart show?
Bullish momentum remains intact on the daily chart, but RSI is overbought. Without more upside follow-through, USD/MYR could turn lower and fill the earlier post-holiday gap.

### 6. What is the current crude-oil price in the live data?
The September 18, 2026 live close-bell data show crude oil at $95.27, down 6.52% from the previous close of $101.91. Its 52-week range is $54.98 to $119.48.

### 7. What change did the Bank of Japan make?
The Bank of Japan raised its short-term interest-rate target from 1.00% to 1.25% in a 7-2 vote. Kazuo Ueda said the policy phase had changed.

### 8. What was the direction of the Australian dollar and the yen?
AUD/USD stayed above 0.7100 in Friday's Asian session, while USD/JPY approached 158.00 in the European session. Two unexpected dissents against the rate increase weighed on the yen.

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