The lira loses its monthly gains and settles near its lowest level during 2022

Today’s recommendation on the lira against the dollar

  • The risk is 0.50%.
  • Last week’s buy trade was activated and a profit was exited with the stop loss point moved to the entry area and half of the contracts closed

Best entry points buy

  • Entering a long position with a pending order from 16.98 levels
  • Place a stop loss point to close below the support levels 16.70.
  • Move the stop loss to the entry area and continue to profit as the price moves by 50 pips.
  • Close half of the contracts with a profit of 70 pips and leave the rest of the contracts until the strong resistance levels at 17.40.

Best selling entry points

  • Entering a short position with a pending order from 17.41 levels.
  • The best points to place the stop loss are closing the highest levels of 17.64.
  • Move the stop loss to the entry area and continue to profit as 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 levels 16.54

Turkish lira analysis

The Turkish lira fell against the US dollar last week, with the Turkish currency trading near its lowest level this year. The lira lost the gains of the past two weeks, which were recorded after the Turkish Ministry of Finance’s decision to limit loans to some companies operating in the country that have a certain amount of net foreign exchange. Attempts to raise the minimum wage also failed to control the high inflation, which reached its highest level since 1998. Analysts see that the main problem facing the country is the stimulus fiscal policy that Turkish President Recep Tayyip Erdogan insists on, who controls the Turkish Central Bank, in return for tightening monetary policy by global central banks, especially in the United States of America, which pushes the dollar to rise against most world currencies. It is noteworthy that the Turkish Central Bank has kept the interest rate unchanged since September last year, after a series of cuts in interest rates in the country from 19 percent to 4 percent.

On a technical level The lira declined against the dollar during last week’s trading. Where the lira returned to trading near its lowest levels during the current year. The US dollar against the Turkish lira maintained its trading above the 50, 100 and 200 moving averages on the daily time frame, as well as on the four-hour time frame and on the 60-minute time frame. In reference to the general upward trend of viscous. The pair is also trading the highest levels of support, which are concentrated at 17.11 and 16.98 levels, respectively. On the other hand, the lira is trading below the resistance levels at 17.40. At the same time, the pair is based on the rising trend line shown on the chart, where we expect the pair’s rise to return as long as it stabilizes above the shown support levels. Please adhere to the numbers in the recommendation with the need to maintain capital management.

Chart generated by TradingView

https://www.tradingview.com/x/KaFlcqEq/

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