KUALA LUMPUR (Oct 7): The ringgit opened higher against the US dollar on technical correction on Thursday after the greenback strengthened on Wednesday following firmer US non-farm payrolls data report, said a dealer.
At 9 am, the local note rebounded to 4.1782/1820 versus the greenback from Wednesday's closing of 4.1825/1845.
ActivTrades trader Dyogenes Rodrigues Diniz said data from the US ADP Nonfarm Employment Change report, which came in higher than expected at 568,000 jobs against the forecast 428,000, moved the dollar higher, but it was later stuck within the sideways laterisation, being quoted at 4.1830 against the ringgit.
"Still, official non-farm payrolls data will be confirmed on Friday and should the NFP come in higher than expected, this could trigger a possible new bullish trend for the US dollar-ringgit pair.
"From a technical point of view, the most important level is still 4.1930. A break above it could pave the way for the US dollar-ringgit to rise to 4.2400 in a few days," he told Bernama.
At the opening, the ringgit was, however, traded lower against a basket of major currencies.
It fell versus the Japanese yen to 3.7516/7551 from 3.7501/7522 at Wednesday’s close and declined against the Singapore dollar to 3.0756/0786 compared with 3.0702/0719.
The local note also eased vis-a-vis the euro to 4.8299/8340 from 4.8270/8293 previously and dipped versus the British pound to 5.6803/6850 from 5.6669/6696 on Wednesday.