USD/TRY technical analysis: 50-DMA, 6-week old resistance-line caps near-term upside
- 50-day SMA limits the upside under the short-term symmetrical triangle.
- 200-DMA can question sellers if defying the immediate technical pattern.
The bounce from 38.2% Fibonacci retracement witnesses pullback from 50-day SMA as the USD/TRY pair trades near 5.88 ahead of the European open on Wednesday.
Not only 50-day simple moving average (SMA/DMA) near 5.93 but a month-long descending trend-line around 5.99 also challenges the buyers.
Should there be increased upside momentum past-5.99, 6.15 and May month top near 6.25 might return to the chart.
Meanwhile, pair’s break of 38.2% Fibonacci retracement at 5.83 is less sure a signal for its plunge as an upward sloping trend-line from late-March and 200-DMA could question sellers at 5.73 and 5.61 respectively.
During the additional south-run beneath 5.61, 61.8% Fibonacci retracement of February – March upside at 5.57 and March bottom around 5.29 can grab market attention.
USD/TRY daily chart
Trend: Pullback expected
This article is published only for general use basic informatory purposes and should not be considered or depended on as a financial or investment advice. Investors should make sure that they understand the risks and seek independent financial advice at all times. CFDS ARE COMPLEX INSTRUMENTS AND COME WITH A HIGH RISK OF LOSING MONEY RAPIDLY DUE TO LEVERAGE.