USD/TRY offered below 5.9036 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank noted the pair still remains under pressure and stays offered below 5.9036.

Key Quotes

“USD/TRY has remained under pressure and is directly offered while capped by the 5.9036 3 month downtrend. It has eroded the 5.6972 mid-August low and in doing so suggests a top formation and pushes the August 6 high at 5.4209 to the fore. We note that the Elliott wave count remains positive but would describe our stance as neutral to bearish”.

“Further, stronger support, comes in at the May and July highs at 4.9624/4.9233. Slightly ahead of here we have a double Fibonacci retracement at 5.06/5.03”.

“We will retain our bearish forecast while the currency pair remains below the current October high at 6.2282”.