USD/TRY Price Analysis: Bulls eye a breakout of a bullish flag formation, 15.00 eyed

• USD/TRY juggles around 14.75, bulls are hopeful above 14.84.
• For a fresh rally, the RSI (14) needs to surpass 60.00.
• The 65-period SMA is scaling higher, which add to the upside filters

The USD/TRY pair is continued to oscillate in a narrow range of 14.70-14.76, tracking the price action of Tuesday. The major has turned into a directionless state after a nine-day winning streak.

On a four-hour scale, USD/TRY is forming a bullish flag pattern, which signals back and forth moves after a strong run towards the north and leads to a fresh impulsive if consolidation breaks out decisively.

Usually, a consolidation phase denotes the placement of bids by investors who didn’t take positions in the initial rally or those investors initiate longs, which prefer to enter in an auction after a bullish bias sets in.

The 65-period Simple Moving Average (SMA) at 14.49 has acted as major support for the asset.

The Relative Strength Index (RSI) (14) has sensed support from 40.00 and is likely to oscillate in a range of 40.00-60.00. For a fresh rally, the RSI (14) needs to surpass 60.00.

If the pair manages to pass Tuesday’s high at 14.84, bulls may send the major quickly to the psychological level at 15.00. Breach of the latter will grind the greenback bulls higher towards 16 December 2021 high at 15.75.

On the contrary, bulls may lose their grip if the major slip below Tuesday’s low at 14.39. Should this occur, the pair will slip towards March 7 low at 14.19, followed by March 4 low at 14.08.

USD/TRY four-hour chart