Today's recommendation on the TRY/USD
The risk is 0.50%.
Best buying entry points
- Entering a buy order pending order from the 18.90 level.
- Place a stop loss point to close below the support level at 18.65.
- 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 19.00.
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 TRY/USD stabilized without major changes during early trading this morning. Investors are awaiting the Central Bank of Turkey's decision today on the country's interest rate, a day after the US Federal Reserve raised interest rates by 25 basis points. On the other hand, expectations are divided about the decision of the Central Bank of Turkey between fixing the interest rate or approving a reduction in the interest rate by half a percentage point. Most of the expectations tend to fix the interest rate in light of the decline in the volume of foreign currency reserves at the Central Bank of Turkey, which it used to maintain the value of the lira from declining further.
The Central Bank had approved a series of interest rate cuts over the past several months, bringing rates down from levels of 14% during the last months of last year to reach levels of 8.5% during the Central Bank's meeting during the past month. It is noteworthy that the divergence of monetary policy between the Central Bank of Turkey and the Federal Reserve in the United States may increase pressure on the Turkish currency, which the ruling party is working to support ahead of the crucial elections expected in less than two months.
TRY/USD Technical Analysis
On the technical front, the dollar pair varied against the Turkish lira in slight changes during the day's early trading, the pair settled near its all-time high, recording 19.11. It traded at 19.03 levels at the time of writing the report, maintaining the general bullish trend, with the pair failing so far to record i.e., closing outside the bullish channel levels on today's timeframe, as the pair formed a rising wedge pattern on today's timeframe.
With the pair's upward movement continuing at a slow pace, the dollar against the pound is trading above the support levels of 18.90, 18.80, and 18.70, respectively. The pair is also trading below the resistance levels at 19.00 and 19.11, which represents the highest price for the pair ever, as well as the pair is trading below the psychological resistance levels at the integer 19.50. The pair is trading above the moving averages 50, 100, and 200 on the time frame of today, in a sign of the general bullish trend on the large time frame, while the price is trading between these moving averages on the 60-minute time frame, in a sign of the slow movement of the pair. Any fall of the USD/TRY represents an opportunity to buy back again. Please adhere to the numbers in the recommendation, while maintaining capital management.
Ready to trade our daily Forex analysis? We’ve made a list of the best Forex brokers worth trading with.