EM space off ‘Brexit’-led lows

Pablo Piovano FXStreet

The main currencies in the EM space have been regaining some buying interest vs. the US dollar after recent lows posted in the wake of the ‘Brexit’ vote in the UK Referendum.

In fact, strong gains in the greenback seem to have prompted investors to cash up part of the advance post-referendum, allowing RUB, TRY, MXN and BRL to reclaim some ground lost in early trade.

USD/RUB is retreating from earlier multi-day highs near the 66.00 handle, now testing the 65.10/00 band.

USD/TRY has abandoned the area around the critical 3.00 mark and is now attempting to sideline in the 2.9250 zone.

MXN has depreciated to the vicinity of 19.60 vs. its northern neighbor, and is now coming back to the 18.80/85 band.

Same moves in the Brazilian Real, lifting USD/BRL to 3.4500 just to retreat later to the current area above 3.35.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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