Turkish lira extends gains through key 1.5035/00 support; focus on coming data

The USDTRY pair holds in red and extends larger weakness from 6.8379 (30 Aug high) after recovery attempts were capped by the base of thick daily cloud, keeping the price within bear-channel.
Renewed investors’ confidence after CBRT’s massive rate hike in Sep, gave fresh boost the Turkish lira, as today’s extension of bear-leg from 6.8379 probed below key supports at 5.5035 (Fibo 61.8% of 4.5121/7.1074) and psychological 5.50 level.
Sustained break here would generate strong bearish signal for further easing, which could test channel support line (5.3000).
Bearish daily techs support scenario, with focus turning towards releases of data from Turkey in in coming days.
Economic confidence is due on Wednesday and expected to fall in Oct, Manufacturing PMI will be released on Thursday and signals contraction, while Turkey inflation data will be released on 05 Nov and negative impact on lira could be expected if CPI remains higher than interest rates (Sep figure was 24.5%).

Res: 5.5035; 5.6117; 5.6240; 5.6676
Sup: 5.4617; 5.4242; 5.3000; 5.2689