Today's recommendation on the TRY/USD
The risk is 0.50%.
Best buying entry points
- Entering a buy order pending order from the 19.20 level.
- Place a stop loss point to close below the 18.99 level.
- Move the stop loss to the entry area and follow the profit when the price moves by 50 pips.
- Close half of the contracts with a profit equal to 70 pips, and leave the rest of the contracts until the strong resistance level at 19.50.
Best-selling entry points
- Entering a sell order pending order from the 19.50 level.
- The best points to place a stop loss close at the 19.65 level.
- Move the stop loss to the entry area and follow the profit when the price moves by 50 pips.
- Close half of the contracts with a profit equal to 70 pips, and leave the rest of the contracts until the support level at 19.05.
The price of the Turkish lira has stabilized against the US dollar, near its lowest level ever, during early trading on Wednesday morning. Today, investors are awaiting the decision of the Central Bank of Turkey today, Thursday, about interest rates in the country. Most expectations indicate that the interest rate will be fixed during today’s meeting at 8.5% levels, which the bank reached after a series of cuts that the bank has followed over several meetings since the end of last year.
The bank, under pressure from the Turkish president, raised the interest rate from 14% to 8.5%. The expectations of stabilization during today’s meetings come from the bank’s desire not to increase pressure on the price of the lira until the upcoming elections are passed. On the political front, Turkish Vice President Fuat Oktay insisted on Wednesday that President Recep Tayyip Erdogan is "in good health" after Erdogan canceled a number of meetings on Wednesday and Thursday. Turkey's presidential elections are scheduled for May 14, when Erdogan is expected to face opposition leader Kemal Kilicdaroglu in a run-off.
Erdogan's Communications Director Fahrettin Altun "categorically rejects such baseless allegations" that appeared in the local media. "No amount of disinformation can dispute the fact that the Turkish people stand by their leader and that Erdogan and his party are set to win the May 14 elections."
TRY/USD Technical Analysis
On the technical front, the USD/TRY recorded slight changes, as it settled near its lowest levels ever, which it recorded during the current month, at levels of 19.46 lira per dollar. Currently, the pair is trading at the lower boundary of the ascending channel on the four-hour timeframe, the dollar continues to record gains against the pound, which are taking place with the pair's slow rise, and the pair is trading above the support level of 19.37 and 19.30, respectively.
On the other hand, the price is settling below the psychological resistance levels at 19.50 and 20.00 levels, respectively. The price is moving above the moving averages 50, 100, and 200 on the daily timeframe, as well as on the 4-hour and 60-minute timeframes, in a sign of the strong bullish general trend. Because of the divergence in monetary policy and the economic position of Turkey, and fall of the dollar against the lira represents an opportunity to buy back again. Please adhere to the numbers in the recommendation, while maintaining capital management.
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