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USD/TRY Pressures 200dma As USD Sags

TURKEY
  • Local rates open lower, with gains concentrated in 7Y tenor (-24bp) following losses in USD & Local yields yesterday.
  • Small offshore buying noted yesterday, which sell side expects to continue in upcoming sessions.
  • USD/TRY opens lower in line with broad USD weakness.
  • Limited local factors means USD developments should dominate with the Senate Runoffs in focus.
  • Spot looking to test the 200dma again at 7,3275. Sell side remains bearish USD/TRY and happy to reallocate shorts above 7.41.
  • Currently still in the 7.3483-7.4271 range, but may look to drift lower in line with risk-on sentiment.
  • SUP 1: 7.3089 Low Dec, SUP 2: 7.2077 Low Aug 21, SUP 3: 7.1345 76.4% retracement of the Jun - Nov rally.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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