USD/TRY: Likely rebound near term - Commerzbank
Karen Jones, analyst at Commerzbank, explains that the USD/TRY has reached the 2018-19 support line and the 200 day moving average at 5.2880/2551 as expected with further support being seen at the November low at 5.1331.
Key Quotes
“The market has now tested and held the uptrend for the past 3 days and we would allow for a rebound from here near term.”
“Resistance still sits between the mid-October low as well as the November 9 and mid-January highs at 5.5329/5.5454. Further up sits the November peak at 5.6492. Once the 5.1331 low has been slipped through, the May and mid-July highs at 4.9624/4.9233 will be back in the picture.”
“The currency pair may well stabilise there, though. Only if the November high were to unexpectedly be bettered on a daily chart closing basis, would a base formation be made with the late October and the current January highs at 5.8692/6.0760 then being in focus. While the cross remains below this area, overall downside pressure should retain the upper hand, though.”
Author
Sandeep Kanihama
FXStreet Contributor
Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.
