- USD/TRY reaches new highs
- Best performer was CHF
- USD also strengthens against EUR, NZD and AUD
The focus in forex markets on 14 August was mainly currency pairs such as USD/TRY, where the lira continued to be punished. In fact, the USD/TRY rate has broken above 7,000 for the first time in history.
The USD/JPY rate dropped in the Asian trading session but surged in the US session to trade above Friday’s close. The high price triggered a sell-off at the 100-hour MA for the sixth time in a week.
It was a quiet day in the New York session, with no major speakers and no scheduled economic releases. Many traders are still enjoying their summer holidays.
Near closing time, the best-performing currency was the CHF. This honor initially belonged to the JPY, but it had to give up some of its gains when stock markets receded. The worst performer was the AUD.
The USD ended the session stronger against the EUR, NZD and AUD but weaker against the JPY, CHF, GBP and CAD. In most of the major currency pairs, trading activity was erratic.
The EUR/USD broke through 1.13645 yesterday, its worst level since July last year. That brought it close to the 200-week moving average of 1.1356. Last week, the currency pair dropped below the 100-week moving average of 1.1460.
Those two moving averages will be closely monitored by traders to get clues about the next market bias. A drop below the 200-week MA will keep the bears in control.
The GBP/USD could not break through its Friday low of 1.2722. The day’s lowest level was 1.2729, while the highest was 1.2791. In between were a lot of choppy price movements, with three individual swing lows in the 1.1222 to 1.1232 bracket.
