Bears could extend significantly after break of key 200DMA support
Eventual break and close below key supports at 5.5740 (Fibo 61.8% of 5.1595/6.2445 ascend) and 5.5649 (200DMA) generated strong bearish signal for deeper decline, in extension of downtrend from 6.2445 (2019 high).
Bears eye psychological 5.50 support, with stronger bearish acceleration to open way towards Fibo support at 5.4156 (76.4% of 5.1595/6.2445).
Lira’s sentiment improved after CBRT rate cut surprise (4.25% vs expected cut of 2.5%) and lowered inflation outlook that also gave credibility to new cb’s management.
Deeply oversold stochastic warns, but no firmer signs corrective action seen so far.
Broken 200DMA and former low at 5.5828 (4 July) now act as solid barriers which should keep the upside protected.
Res: 5.5649; 5.5740; 5.5828; 5.6087
Sup: 5.5135; 5.5000; 5.4709; 5.4246