USD/TRY expected to consolidate below 7.1310 – Commerzbank

According to Senior Analyst at Commerzbank Axel Rudolph, spot is seen consolidating below recent all-time highs above 7.00 the figure.

Key Quotes

“Last week USD/TRY shot up to a new all-time high at 7.1310 (according to CQG) before slipping back to last week’s low at 5.6972, only to then rise again”.

“This week we expect to see further range trading below the 7.0000/7.1310 area with a drop below the 5.6972 level looking likely. If so, the early August high at 5.4209 would be targeted”.

“Below it the three month support line can be seen at 5.1227. While it holds, upside pressure should be maintained and a rise above the 7.1310 high cannot be ruled out”.

“Were the 7.1310 high to be bettered, the 423.5% Fibonacci extension of the 2008 to 2014 advance, projected higher from the 2014 low, at 7.3179 would be in focus. Then there is no potential resistance to speak of until the psychological 8.0000 mark and a vertical hourly 0.005 x 3 Point & Figure target at 8.6650”.