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Forex Traders Pairing Turkish Lira as it Values Plunges

August 13, 2018 August 13, 2018 David Nugent

Make no mistake about it; this week is going to see the Turkish Lira going one something of a very rough ride, and it would be no surprise to any experienced trader if its value continues to plunge and fall of a cliff.

However, whilst that may spell disaster for Turkey, it does offer Forex traders the opportunity of cashing in , and cashing in big style throughout the week, and plenty of Forex traders have already been pairing up Lira with a range of other fiat currencies, in the hope its value does continue to fall.

I think it is very safe to say that by pairing up Lira with USD for example there is some money to be made, if you are of the mind, as the vast majority of traders are, that the US Dollar will continue to grow in value, at the expense of Lira.

The decision most traders are going to have to make however is just how long they want to their trades to be kept live for and when they want them to expire, and it is often the time of such trades that ensure a fairly decent profit from them.

Trade Negotiations Needed

The only way that Turkey is going to be able to avoid a major financial crisis is if they get themselves into a position very quickly whereby they are going to be able to start negotiating a trade deal that works for both them and the USA.

Donald Trump knows that his country is one of only a tiny number of countries that has to power to make people sit up and listed regarding its economy, and he is 100% focussed on having only beneficial trade deals in place with all other countries of the world

A Turkish Bailout May be Required!

At the end of the day though traders are going to have to adopt a wait and see approach in regards to what is going to happen to the Turkish Lira.

However, the economy of Turkey is not robust and strong enough to sustain a long period or for that matter short period of devaluation, and as such there may come a time, and much sooner than later than they are going to have to seek a bail out of one sort or another.

About The Author

David Nugent

Editor

Hi, my name is David and I am the chief editor of legaltradingreport.com, I am proud to bring you all latest legal matters concerning the trading industry be it forex or binary even the hot new kid on the block Crypto..

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