Today's recommendation on the TRY/USD
The risk is 0.50%.
Best buying entry points
- Entering a buy order pending order from the 22.00 level.
- Place a stop loss point to close below the 21.90 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 23.00.
Best-selling entry points
- Entering a sell order pending order from the 23.00 level.
- The best points for placing a stop loss close to the highest level of 22.65.
- 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 support level at 23.05.
The losses of the TRY/USD did not stop at all for more than a month, with the Turkish currency declining to record levels of losses on a daily basis, as it lost yesterday by about 1 percent to increase its losses this morning with the rise of the US dollar against the Turkish lira by more than 3.5 percent. Markets paid no heed to reports that the newly formed government of President Recep Tayyip Erdogan, the winner of the presidential elections, would return to a "more traditional" monetary policy after the appointment of Mehmet Simsek as the new Minister of Treasury and Finance in Turkey, a proponent of raising interest rates, which reduced the possibility Government intervention in the markets.
The bets on the decline of the Turkish lira in the futures markets suggested that the Turkish lira would decline to levels of 26 liras per dollar, before bets rose on a greater decline in the Turkish currency, to record levels of 29 liras per dollar by the end of this year. The current declines in the price of the lira seem to reveal the decline in the role of the Turkish Central Bank in balancing the price of the lira, as it has worked to support the lira over the years, pumping tens of billions into the markets to keep pace with the increasing demand for foreign currencies amid the increased demand for it, with Turkish citizens searching for what they believe in their savings. High inflation in the country.
TRY/USD Forecast
On the technical front, the USD/TRY rose almost non-stop, as the pair maintained the general bullish trend in a strong manner, which continued for more than a month, with the pair recording new levels on a daily basis. The pound declined during early trading this morning, as the pair reached 22.82 levels. The lira is under great pressure, as it hardly records any significant correction. At the same time, the pair is trading above the support levels, which are concentrated at 22.60 and 22.50, respectively.
The price also settles below the resistance levels that are concentrated at 23.00 and 23.50. 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. Even announcing the expected changes in monetary policy, any fall in the dollar against the lira represents an opportunity to buy back again. Please adhere to the figures in the recommendation, while maintaining capital management.
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