USD/TRY Price Analysis: Prolonged consolidation favors upside break on advancing 200-EMA

• Usually, a prolonged consolidation is followed by a juggernaut move.
• The 50- and 200-EMAs are still advancing, which favors an upside breakout.
• The momentum oscillator, RSI (14) is trading in a bullish range of 40.00-60.00.

The USD/TRY pair is oscillating in a minor range of 14.84-14.87 in the Asian session. The asset witnessed a firmer rebound after hitting a low of 14.36 on Thursday.

On the daily scale, the major is displaying back and forth moves in a tad lower range of 14.40-15.09 from March. The 20-period Exponential Moving Average (EMA) at 14.77 is overlapping to the prices, which signals a consolidation ahead.

Meanwhile, the 50- and 200-period EMAs at 14.54 and 12.48 respectively are scaling higher, which adds to the upside filters.

The Relative Strength Index (RSI) (14) is juggling in a bullish range of 60.00-80.00, which still favors greenback bulls and signals more upside for the asset.

An upside break of the consolidation at 15.09 will drive the asset towards the round level resistance at 15.50, followed by 16 December 2021 high at 15.75.

On the flip side, Turkish lira bulls could regain control if the asset tumbles below the lower boundary of consolidation at 14.40. This will drag the asset towards February 28 high at 14.40. A breach of 14.40 will send the asset towards the psychological support at 14.00.

USD/TRY daily chart