- USD/TRY is auctioning around its all-time highs recorded at 18.41.
- Exhaustion in upside momentum could lead to a mild correction further.
- The RSI (14) is oscillating in the bullish range of 60.00-80.00 for a prolonged period.
The USD/TRY pair is attempting an upside break of the consolidation formed in a narrow range of 18.30-18.40 in the early European session. The asset has remained in the grip of bulls for the past week after establishing above the critical hurdle of 18.25. The major printed a fresh all-time high at 18.41 on Wednesday amid hawkish Federal Reserve (Fed) policy.
On a daily scale, the USD/TRY pair has refreshed the all-time highs after overstepping the 20 December 2021 high at 18.39. The asset is hovering around all-time highs at 18.40, however, signs of exhaustion in the upside momentum is favoring a mild correction ahead.
The 20-and 50-period Exponential Moving Averages (EMAs) at 18.24 and 17.95 respectively are scaling higher, which adds to the upside filters.
Also, the Relative Strength Index (RSI) (14) is oscillating in the bullish range of 60.00-80.00 for a prolonged period, which indicates a continuation of upside momentum.
A decisive slippage below the 20-EMA at 18.24 will drag the asset towards the round-level support at 18.00, followed by August 9 low at 17.56.
On the contrary, the greenback bulls will shift into the unchartered territory after overstepping the fresh all-time highs at 18.41. An occurrence of the same will send the asset towards the psychological resistance at 19.00 followed by the round-level resistance at 19.50.
USD/TRY daily chart
-637994203244483318.png)
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD: Extra gains in the pipeline above 0.6520
AUD/USD partially reversed Tuesday’s strong pullback and regained the 0.6500 barrier and beyond in response to the sharp post-FOMC pullback in the Greenback on Wednesday.
EUR/USD meets support around 1.0650
EUR/USD managed to surpass the key 1.0700 barrier in response to the intense retracement in the US Dollar in the wake of the Fed’s interest rate decision and Chair Powell’s press conference.
Gold surpasses $2,300 as Dollar tumbles
The precious metal maintains its constructive stance and trespasses the $2,300 region on Wednesday after the Federal Reserve left its FFTR intact, matching market expectations.
Bitcoin price reclaims $59K as Fed leaves rates unchanged
The market was at the edge of its seat on Wednesday to see whether the US Federal Reserve (Fed) would cut interest rates during the Federal Open Market Committee (FOMC) meeting.
The market welcomes the Fed's statement
The market has welcomed the Fed statement, and the S&P 500 is higher in its aftermath, the dollar is lower and Treasury yields are falling. There is still only one cut priced in by the Fed.