The Turkish government has during the last days come up with various measures to try to stabilize the Turkish lira, TRY.
If these are actually light capital controls or not, we leave for the longer-term investor to decide upon, buy whenever sentiment become one way bearish, we find it interesting to look for contrarian capitulation trades.
The TRY, actually showing signs of “life”. Watch the huge 6 level.
This is not a fundamental long-term call for TRY, but Turkish assets tend to have violent bounces, if you catch them right.
Always use Stop losses, but given the huge volatility of the TRY, the long bounce trades must be spread over time, as well as the possible stop loss later.
Trade safe
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