US Dollar rises sharply in Latam; Chilean peso drops to record lows

Latin American currencies are the worst performers.
The bearish trend intensifies amid turmoil in the region.

Matías Salord FXStreet

The US Dollar is up significantly against Latin American currencies on Tuesday, with the Chilean peso leading losses and trading at record low levels. The USD/CLP reached earlier today 800 for the first time, before pulling back to 782.00. Equity prices in Chile fell to the lowest levels in more than two years as protests in the streets continue.

The greenback rose today more than 3% in Chile and is up by more than 10% over the last thirty days. In Colombia, it gains today 1.60%, with the USD/COP trading at 3,390 the highest in a week.

Global financial markets show low volatility on Tuesday as traders now await a speech from US President Trump Economic Club of New York. The outlook in Latin America worsened over the last hours following the resignation under pressure from riots in the streets and the military on Sunday of Evo Morales. There appears to be no bright spot in the region. Weeks ago, Peruvian President closed the Parliament; in Argentina the economic crisis intensified after Peronist Fernández won the presidential elections; Venezuela remains in economic chaos and in Brazil, former President Lula was released from prison creating a more complex political environment.

Mexican peso slides but remains in recent range

The USD/MXM is rising on Tuesday, trading slightly below 19.20 and close to the upper limit of the current consolidation range that has been in place since mid-October. The critical support of the range is the 19.00 zone. The Mexican peso remains steady in the mentioned area, unaffected so far from the Latin American crisis and ahead of the Bank of Mexico meeting on Thursday.

USD/MXN

Overview
Today last price	19.1793
Today Daily Change	0.0734
Today Daily Change %	0.38
Today daily open	19.1059

Trends
Daily SMA20	19.1434
Daily SMA50	19.3912
Daily SMA100	19.3809
Daily SMA200	19.264

Levels
Previous Daily High	19.166
Previous Daily Low	19.0846
Previous Weekly High	19.2536
Previous Weekly Low	19.0434
Previous Monthly High	19.8623
Previous Monthly Low	19.0176
Daily Fibonacci 38.2%	19.1349
Daily Fibonacci 61.8%	19.1157
Daily Pivot Point S1	19.0717
Daily Pivot Point S2	19.0375
Daily Pivot Point S3	18.9903
Daily Pivot Point R1	19.1531
Daily Pivot Point R2	19.2002
Daily Pivot Point R3	19.2344

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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