FxWirePro: USD/TRY hovers towards 1-week low, major support at 21-EMA
The Turkish Lira surged, extending gains for the fourth straight session as investors continued to digest the Central Bank of the Republic of Turkey's (CBRT) interest rate decision. The CBRT slashed its one-week repo auc…
The Turkish Lira surged, extending gains for the fourth straight session as investors continued to digest the Central Bank of the Republic of Turkey's (CBRT) interest rate decision.
The CBRT slashed its one-week repo auction rate by another 200bps to 12 percent during its December meeting, beating market expectations of a 150bps cut.
USD/TRY is trading 0.1 percent down at 5.7840, having hit a low of 5.7648 on Thursday, its lowest since December 6.
On Thursday, the plunged to a 1-week low but found strong support at 21-EMA.
Momentum indicators are turning bearish - RSI point south and Stochs are biased lower.
Immediate resistance is located at 5.7951, any close above could take it above 5.8101.
On the downside, support is seen at 5.7625 (21-EMA). and break below could take it near 5.7515 (55-EMA).
Recommendation: Good to sell on rallies around 5.7880, with stop loss of 5.7951 and target price of 5.7686.
