Risk 0.50%.
Best buying entry points
- Entering a buy deal with a pending order from the 19.20 level.
- Place a close stop loss point below the 18.99 level.
- Move the stop loss to the entry area and follow the profit with the price moving by 50 points.
- Close half of the contracts with a profit equal to 70 points and leave the rest of the contracts until the strong resistance level at 19.50.
The best-selling entry points
- Entering a sell deal with a pending order from the 19.50 level.
- The best points for placing a stop loss close at the 19.65 level.
- Move the stop loss to the entry area and follow the profit with the price moving by 50 points.
- Close half of the contracts with a profit equal to 70 points and leave the rest of the contracts until the support level at 19.05.
The price of the Turkish Lira fell against the dollar during the early trading on Tuesday morning, as the Turkish currency reached its lowest levels ever, recording levels of 19. The lira continues its losses at a crucial time before the upcoming elections on the 14th. Meanwhile, the spending promises continued from the Turkish president, who is entering the most difficult election race since assuming power about 20 years ago, where Erdogan promised to reevaluate the minimum wage during the month of July in accordance with inflation rates, and the Turkish president also promised measures to counter the increase in rents. This is in anticipation of the inflation expectations that are expected to rise after the elections. At the same time, the official newspaper in the country published a decree acknowledging the non-imposition of fees on household gas consumption for a month, recalling that the World Bank had previously warned in a report published at the beginning of the year.
The negativity of the increase in spending due to the elections and its negative impact on inflation, which exceeds 50% according to the latest updates, declining from record levels last November where it reached 85%. The Turkish Central Bank continues to suffer from the decline in the number of monetary reserves from foreign currencies, a large part of which was used to support the price of the lira, which entered a series of declines over the past months.
TRY/USD Technical Analysis
On the technical level, the USD/TRY rose, recording new record levels, as the pair rebounded from the level of 19.50 lira per dollar. At the moment, the pair has maintained its trading within the range of an ascending price channel in the four-hour time frame, the pair is trading above the support levels of 19.40 and 19.34, respectively. On the other side, the price settles below the resistance levels of the right number 19.50, and the levels of the right number 20.00 respectively.
The price also moves above the 50, 100, and 200 moving averages on the daily time frame, as well as on the four-hour time frame and on the 60-minute time frame, indicating a strong general upward trend. Due to the difference in monetary policy and the economic situation in Turkey, any drop in 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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