USDTRY – 29.08.2016
On the 16th of August, we had mentioned that USDTRY will touch the 2.96 level and bounce back. Surprise!!! It just happened.
As you know, Turkey started an armed forces operation to Northern Syria last week. On the other hand Last week Janet Yellen spoke at the annual meeting of Central Bankers last week, confirming that the case for raising the interest rates has strengthened.
So How would USDTRY be affected after all? Shall we expect new all time highs?
USDTRY seems to be having a quiet day around 2.95 now. Every now and then we can see minor jumps to the 2.96 level. Yet we don’t expect this increase to advance. After a bit of a rest at this level, we believe USDTRY will drop to the 2.84 – 2.86 level.
However if the Syrian operation turns into a dilemma, we could see a jump to the 3.00 – 3.02 level. Although this increase seems a bit unlikely at this stage.
Based on the upcoming news, we will update our analysis.
This cannot be considered an investment advice!