HomeContributorsTechnical AnalysisUSD/TRY Outlook: Lira Advances After Bigger Than Expected Inflation Drop

USD/TRY Outlook: Lira Advances After Bigger Than Expected Inflation Drop

The Turkish lira firmed on Tuesday as inflation drops (Aug CPI 15.01% vs 15.51% f/c, 16.65% July).

The USDTRY pair fell to the lowest in 1 1/2 week, following multiple upside rejections under the top of falling daily cloud.

Fresh easing generates initial signs of reversal, which would require return below daily cloud base (5.6737) for confirmation, with weakening daily studies supporting lira for now.

Drop in inflation is positive signal, however, high CBRT interest rates and Turkish economy in recession continue to weigh.

CBRT meets on 12 Sep and potential rate cut would help the Turkish currency to recover further.

Res: 5.7950, 5.8228, 5.8497, 5.9141
Sup: 5.7600, 5.7412, 5.7110, 5.6737

Windsor Brokers Ltd
Windsor Brokers Ltdhttp://www.windsorbrokers.com/
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

Featured Analysis

Learn Forex Trading