TRY/JPY 4h Chart: Rising Wedge

The Turkish Lira is trading against the Japanese Yen in a rising wedge pattern. Formation of this figure within the medium-term ascending channel began after the currency exchange rate could not break through the monthly PP at 31.271 and began narrowing down. From a technical perspective a rebound near the 21.883 is expected to follow with the subsequent breakout downwards. Even if the pair would cross the upper boundary of the formation, the surge most likely will be restrained by the weekly R1 at 31.950. On the other hand, a support level set up by the weekly PP at 31.630 and 55-period SMA might stop the fall and force the pair to go for another round.