ExoticTrading is a series of analyzes, which is created in collaboration with the broker InterTrader and is published on Comparic every Monday, Wednesday and Friday. The theme as the name suggests are so called- exotic currency pairs.
After defeating a very important support zone around 9.1470 level, for several weeks the market oscillates around a upward trend line, the defeat could pave the way for further declines even in the area of 8.5220.
Looking at the daily chart we can expect a prior correction and retest of the aforementioned zone (this time resistance) coinciding with the level of momentum 50% Fibonacci correction of the recent declines.
After a more than lasting for two weeks upward correction market reached a significant resistance around 10.8873 and the descending trend line. The rejection of this zone could be a signal for the continuation of this trend. However if the growth will continue then we would expect to test the level of 11.4428 area.
Looking at the weekly chart we see that the potential drop caused by the rejection of the current level could reach even in the vicinity of the level of 10.4060.
Currency pair USDTRY two weeks oscillates around a very important resistance 3.0670. Given that we are at historical highs, durable overcome of this level could open the way for further growth.
For the pro-bearish scenario suggests a slowing growth of recent increases and the last week’s doji candle. If the market comes back below this level 3.0670, then we could expect a decline even in the support zone around 2.7883.