We expect the lira’s decline to continue.

Today’s recommendation on the lira against the dollar

Risk 0.50%.

None of the buying or selling transactions of yesterday were activated.

Best selling entry points

• Entering a sell position with a pending order from 17.41 levels
• Set a stop-loss point to close the lowest support levels 17.65.
• Move the stop loss to the entry area and continue to profit as the price moves by 50 pips.
• Close half of the contracts with a profit equal to 55 pips and leave the rest of the contracts until the strong resistance levels at 16.40.

Best entry points buy

• Entering a buy position with a pending order from 17.00 levels
• The best points for setting the stop loss are closing the highest levels of 16.88.
• Move the stop loss to the entry area and continue to profit as the price moves by 50 pips.
• Close half of the contracts with a profit equal to 55 pips and leave the rest of the contracts until the support levels 17.40

The Turkish lira stabilized without changes against the dollar during today’s trading. The lira did not retreat after the US Federal Reserve’s decision yesterday, which raised the lending rate by 75 basis points, amid expectations of a similar hike during next month’s meeting. The declines of most currencies against the US dollar, especially the currencies of emerging economies. This suggests an indirect intervention by the Turkish Central Bank, which succeeded in fixing the lira’s loss. Turkey is facing a crisis in the size of strong inflation, which reached its highest level in 24 years, led by jumps in the prices of energy imports, in light of the state’s adherence to not raising the interest rate to keep pace with the movements of the US Federal Reserve. In the meantime, investors are awaiting decisions from the Treasury Department regarding bonds aimed at pushing the lira to consolidate against the dollar.

On the technical level, the Turkish currency was stable for the fourth consecutive day. The pair maintained its trading in a general bullish trend above the level of 17 pounds, with the pair trading the highest levels of support, which are concentrated at levels of 17.00 and 16.80, respectively. The pair also continued trading above the 50, 100 and 200 moving averages, respectively, on the four-hour time frame, while the price traded between the same averages on the 60-minute time frame. At the same time, the lira is trading below the resistance levels at 17.40 and 17.80, respectively. The level of 17.41 represents a strong resistance level. We expect the lira’s decline to continue, as every decline on the pair represents an opportunity to repurchase, especially if it crosses the mentioned resistance levels. Please adhere to the numbers in the recommendation with the need to maintain capital management.

You cannot argue with the overall uptrend and therefore I would need to see a pretty significant shift in attitude to start selling.

The West Texas Intermediate Crude Oil market rallied significantly during the trading session on Thursday to break above the $110 level. However, we have seen the market turn around and show signs of weakness, and therefore it looks like we are going to close the day with the shooting star. The shooting star of course is a very negative candlestick, and it makes a lot of sense that we would see a bit of a potential pullback to find support underneath. The 50 Day EMA is sitting just above the $101 level and rising.

Any pullback at this point will be thought of like value, as crude oil continues to find plenty of buyers. Ultimately, this is a market that I think is not worth shorting, at least not until we break down below the 50 Day EMA, and perhaps even the uptrend line underneath there. The market breaking down below that uptrend line could send crude oil down to the $90 level, which would start to meet up with the 200 Day EMA. The main reason why think we could do this is that the global growth situation does not look very good, and therefore demand for crude oil could fall. However, the market has been bullish for some time, and of course, I think that momentum continues to be a major player in the market. The Russian supply of crude oil is somewhat taken out of the market has had a major effect, but only time will tell how that plays out.

If we turn around a break above the top of the shooting star for the trading session on Thursday, that would be a very strong sign as we would not only break through the short-term support, but we will also have broken through the $110 level. I would need to see a daily close above there to get confident to hold onto this contract, but in the meantime, we may have a short-term pullback that we can look to for value. Over the last week or so, the 50 Day EMA has been rather reliable, so one would assume that would be the case over the longer term. Expect a lot of choppy behavior, but at this point, you cannot argue with the overall uptrend and therefore I would need to see a pretty significant shift in attitude to start selling.