USD/IDR: Overbought conditions and support levels – OCBC

OCBC strategists Sim Moh Siong and Christopher Wong describe USD/IDR as easing from overbought territory as hopes of a US–Iran deal support sentiment. Bank Indonesia’s (BI) tighter rules on cash FX purchases and comments that the Rupiah (IDR) is undervalued back stabilization efforts. They note intact bullish momentum but early RSI rollover, with support at 17,267 and 17,200 and resistance near 17,440.

BI measures and technical backdrop

"USD/IDR eased lower, alongside the move seen in most other USD/Asia while oil prices fell. Hopes of US-Iran deal fuelled optimism."

"Bullish momentum on daily chart intact while RSI shows tentative signs of turning lower from near overbought conditions."

"Elsewhere, BI has recently (5 May) tightened rules on cash purchases of foreign currency (without support documents), lowering the cap to USD25,000 from USD50,000. This is in support of IDR stabilization measures while Governor Perry said that the IDR is undervalued and should strengthen."

"Support seen at 17,267 (23.6% fibo retracement of 2026 low to high), 17,200 (21 DMA). Resistance at 17,440 levels. Further pullback plausible should geopolitical tensions de-escalate more meaningfully."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)