USD/TRY Forecast Today 17/6: Retreats To Four-Week Low
Date
6/17/2024 2:44:28 PM
(MENAFN- Daily Forex) Signals for the Lira Against the US Dollar Today
Bullish Entry Points:
Open a buy order at 32.50. Set a stop-loss order below 31.20. Move the stop-loss to the entry point and follow the profit with a price movement of 50 pips. Close half the contracts at a profit of 70 pips and leave the rest until the strong resistance levels at 33.20.
Bearish Entry Points:
Place a sell order for 32.91. Set a stop-loss order at or above 33.04. Move the stop loss to the entry point and follow the profit with a price movement of 50 pips. Close half the contracts at a profit of 70 pips and leave the rest until the support levels at 32.55.
Turkish lira Analysis:
The USD/TRY pair rose at the beginning of trading this week, as the lira fell to its lowest level in about a month, after settling in a narrow range that lasted for several weeks. Clearly, data released at the end of last week revealed that the Turkish Central Bank's reserves recorded an all-time high after increasing by about $2 billion and 504 million to reach $146.2 billion compared to the previous week.
Meanwhile, investors followed the statements of Turkish President Erdogan, in which he expected inflation rates to improve in the last quarter due to the planned interest rate adjustments. He believes that controlling inflation ultimately depends on these rates. After adopting a more traditional economic approach after the elections, the Turkish Central Bank raised interest rates significantly, which helped stabilize the currency and address inflation, which is expected to slow by the end of the year according to the International Monetary Fund's expectations.
In other news, Turkish Finance Minister Mehmet Simsek announced the government's decision to postpone the implementation of taxes on stock trading after violent reactions from investors. Furthermore, the proposed“limited” transaction tax has faced criticism due to the possibility of increasing fees and reducing business activity. Reports of the impending tax have caused market volatility, but officials have clarified that taxing profits was not in the plans. However, uncertainty remains over the issue of the transaction tax. Simsek said on social media that further assessment of the tax would be made later. Stock trading has gained popularity as a hedge against inflation, with trading volume tripling in the past five years to $3.3 billion per month.
Top Forex Brokers
1 Get Started 74% of retail CFD accounts lose money
USD/TRY Technical Analysis and Expectations Today:
Technically, the US dollar exchange rate against the Turkish lira (USD/TRY) rose after the pair broke the narrow trading range that it had been stable within for several weeks. Recently, the price broke the upper limit of the triangle pattern on the four-hour time frame, as shown in the chart. At the same time, the price returned to trade above the 50 and 200 moving averages on the four-hour time frame, as well as on the daily time frame, indicating the return of the upward trend to control the general direction of the pair's movement. If the price rises, the pair is expected to target the resistance levels of 32.87 and 33.00. On the other hand, if the price falls, it will target the support levels at 32.50 and 32.20. eventually, the Turkish lira price forecast includes a rise in the price as long as it stabilizes above the triangle range.
Ready to trade our USD/TRY analysis and predictions? Here are the best Turkish brokers to choose from.
MENAFN17062024000131011023ID1108342510
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.