Elliott Wave analysis of USD/TRY for June 3, 2021

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The Turkish Lira has been in a downtrend for years. After a period of stability from 2003 to 2008 the current weakness began and the Turkish Lira is now facing resistance at 8.5826 and a close above here on the weekly time-frame, will be another bad blow for the Turkish Lira and send it even lower. A break above 8,5826 in USD/TRY will call for a continuation higher towards at least 10.4147 and the risk is a full-blown hyperinflation scenario where TRY is racing as fast as possible towards zero as possible.

Hyperinflation is not something that just starts overnight, but is a process build up over years and Turkey has seen such a build-up and the risk of a hyperinflation is real.

The material has been provided by InstaForex Company - www.instaforex.com

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