Today’s recommendation on the lira against the dollar
Yesterday’s buy trade was activated, and half of the contracts were closed with the price rising towards the target and providing a stop loss point.
Best selling entry points
Entering a short position with a pending order from levels of 18.33Set a stop-loss point to close the lowest support levels at 18.55.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 55 pips and leave the rest of the contracts until the strong resistance levels at 17.70.
Best entry points buy
Entering a buy position with a pending order from levels of 17.85The best points for setting stop-loss are closing the highest levels of 17.54.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 55 pips and leave the rest of the contracts until the support levels 18.31
Analysis of the Turkish lira
The Turkish lira fell slightly to exceed the peak recorded during this year after inflation data issued by the country’s Statistics Institute today. The data revealed that the country’s inflation rate rose to a new high compared to June, the number had risen by 2.37%. Recording 79.6% during July, the highest level since 1998. The report attributed the main increase in the Consumer Price Index due to a jump in transport prices, which rose by 119.11% on an annual basis. The rise in the prices of energy imports was primarily responsible for these rises, as Turkey is one of the countries that imports most of its energy needs. Experts do not expect the possibility of controlling the inflation rate in light of the stimulus policy pursued by the Turkish Central Bank, which is under the effective control of the country’s President Recep Tayyip Erdogan, who believes that the interest rate is the mother of all evils.
Lira Technical Outlook
The Turkish lira fell against the US dollar, as it recorded a new high at 17.98, the highest level for the dollar against the lira this year. In general, the pair’s movement continued with the same trading pattern that the pair has been following since last week. The lira traded around the highest recorded during the current year, after falling with a strong candle during yesterday’s trading. The intervention of the Turkish Central Bank in the strong movements of the pair appears on the pullbacks shown on the chart, before the pair’s rise returns. The pair is trading above the moving averages 50, 100 and 200 respectively on the four-hour time frame as well as on the 60-minute time frame, indicating the bullish trend on the medium term. The pair is also trading above the rising trend line on the four-hour time frame, shown on the chart, at the same time, the pair is trading the highest support levels that are concentrated at 17.80 and 17.70 levels, respectively. While the lira is trading below the resistance levels at 18.00 and 18.32, respectively. We expect to re-record new highs, especially with every dip in the pair, which represents a buying opportunity. Please adhere to the numbers in the recommendation with the need to maintain capital management.
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