OCBC strategists Sim Moh Siong and Christopher Wong describe the USD/IDR rate as weakening from purchased territory in hopes of supporting the US-Iran deal. Bank of Indonesia (BI) tightens rules on cash purchases of foreign exchange and comments that the rupiah (IDR) is undervalued, reflecting stabilization efforts. They see consistent upside momentum but early RSI rollover, with support at 17,267 and 17,200 and resistance near 17,440.
BI resources and technical facilities
“USD/IDR fell, in line with the move seen in much of the rest of USD/Asia, while oil prices fell. Hopes for a US-Iran deal fueled optimism.”
“The bullish momentum on the daily chart is unchanged, while the RSI shows tentative signs of decline from near overbought conditions.”
“Elsewhere, BI recently (May 5) tightened rules on cash purchases of foreign currencies (without supporting documents), lowering the upper limit from $50,000 to $25,000. This supports IDR stabilization measures, while Governor Perry has stated that IDR is undervalued and should be strengthened.”
“Support at 17,267 (23.6% Fibo retracement from low to high in 2026), 17,200 (21 DMA). Resistance at 17,440. Further pullback is likely if geopolitical tensions subside more significantly.”
(This article was created with the lend a hand of an artificial intelligence tool and has been reviewed by an editor.)
