USDTRY – reversal pattern is forming on daily chart
|USDTRY
The pair stays in red on Friday following double upside rejection at 3.5183 (Fibo 76.4% of 3.5585/3.3883 downleg / near falling 100SMA) on Wed /Thu and yesterday’s Doji with long upper shadow, signaling formation of reversal pattern.
Fresh weakness of the greenback on geopolitical tensions works in favor of such scenario, as slow stochastic is reversing from o/b territory and generating negative signal.
Dips were so far contained by 200SMA (3.4838) with close below needed to confirm and signal deeper correction of 3.3883/3.5194 upleg and expose its Fibo 38.2% retracement at 3.4693.
The pair may stay in extended consolidation before generating fresh direction signal while 200SMA support holds.
Res: 3.5065; 3.5194; 3.5394; 3.5488
Sup: 3.4838; 3.4693; 3.4590; 3.4384
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.