Today's recommendation on the TRY/USD
Risk 0.50%.
Best buying entry points
- Entering a buy deal with a pending order from the 27.50 level.
- Place a stop loss closing point below the 26.25 level.
- Move the stop loss to the entry area and follow the profit as the price moves 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 levels at 27.80.
Best-selling entry points
- Entering a sell deal with a pending order from the 27.99 level.
- The best points to place a stop loss are closing the highest level of 28.09.
- Move the stop loss to the entry area and follow the profit as the price moves 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 of 27.70.
The price of the Turkish Lira varied against the US dollar during early trading on Thursday morning, as the pair stabilized near its highest levels ever. Investors followed a document published by Bloomberg, which it described as leaked, as it revealed investors’ fear despite the efforts made by Mehmet Simsek, Minister of Finance in Turkey and one of the members of the new economic team in Turkey. Investors' reactions were characterized by a kind of fear mixed with anxiety, according to the document, which summarized the impression of more than 20 investment institutions, including hedge funds and Western asset management companies, as well as some sovereign funds.
The Turkish Minister had met during the first week of this month with a large number of investors as part of the economic team’s plans to change the negative outlook on the Turkish economy after the unconventional policy followed by the Turkish President during the period preceding the presidential elections that took place last June.
According to the document, a very small number of investment institutions have decided to pump investments into Turkey, amid continuing fears of a coup by the Turkish President against the current monetary policy followed by the Turkish Central Bank, which is characterized by tightening, especially since some Western reports have stated that the Turkish President’s patience with the current policy It may not last long, which the Turkish President denied in a number of meetings, where he expressed his support for the current monetary policy and standing behind the new economic team with the aim of reducing inflation in the country to single digits. It also included investors' fears of a decline in the size of Turkey's cash reserves, as well as high inflation rates.
TRY/USD Forecast
On the technical level, the dollar pair against the Turkish lira varied near its highest level ever during early trading this morning, as the pair traded at levels of 27.75. The pair's trading stabilized within an ascending price channel on the 240-minute time frame shown in the chart.
Currently, if the pair goes up, it targets the resistance levels concentrated at 27.99 and 28.19, respectively, while if the pair declines, it targets the support levels concentrated at 27.60 and 27.30, respectively.
The price is moving above the 50 and 200 moving averages on the daily time frame, as well as on the four-hour and 60-minute time frames, indicating the buyers’ control and the return of the general upward trend recorded by the pair. The pair is expected to record gains as long as it settles within the ascending price channel range. Please adhere to the numbers in the recommendation, while maintaining capital management.
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