Axel Rudolph, senior analyst at Commerzbank, points out that the USD/TRY cross suddenly rallied to its current March high at 5.8449 before coming off again in the past week.
“This week we expect the cross to remain below this level and the 5.8692/5.9068 resistance area, made up of the early October low and the late October high. If so, a slip back towards the 5.5454/40 mid-January highs is expected to take place.”
“Further support is seen along the 200 day moving average at 5.4692 and also along the 55 day moving average at 5.3596. Above the 5.8692/5.9068 resistance area sit the January spike high at 6.0760 and also the October peak at 6.2282.”