USD/TRY

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USDTRY I

USDTRY II

Since April Tech Charts frequently updated the USD/TRY analysis and drew attention to a weakening Lira against the U.S. dollar (Apr 22, May 13, May 28, Jun 20)  . Breakout above 1.83 levels was followed by a sharp rise towards 1.92 levels which was also breached on the upside after a short consolidation. Latest breakout from the flag formation on the daily chart resulted in another rally towards 2.07 levels. Since the beginning of 2013, USD/TRY has formed an upward trend channel and with the latest rally the cross rate reached the upper boundary of this steep trend channel. Technical outlook still remains negative for the lira. However we can conclude that the current technical readings are overextended and suggest a short-term stability at these levels. 1.92-1.95 area will be strong support in the short/medium-term. 1.75-1.83 area will be strong support in the long-term.