• Mexican peso continues to rise versus the US dollar as markets recover.
  • DXY extends bearish correction, and suffers the worst daily loss in months.
  • The slide below 20.00, weakens further the USD/MXN pair.

The USD/MXN is falling on Tuesday for the sixth consecutive day. It bottomed at 19.92, the lowest level since April 19 and then rebounded toward 20.00.

The Mexican peso continues with its rally versus the US dollar for the sixth consecutive day. It reached the highest level in almost a month. The MXN has been among the top performers during the last five days, after a new rate hike from Banxico.

The improvement in risk appetite across financial markets seen during the last few days pushed USD/MXN further to the downside. Also weakened by higher crude oil and commodity prices. The US Dollar Index is falling for the third consecutive day, posting on Tuesday so far the worst decline in months. The greenback trimmed losses after the release of US economic data that came in above expectations.

April lows back on the radar

The consolidation below 20.00 could open the doors to a slide toward the next support area at 19.85 in USD/MXN. A slide below would expose the April low at 19.72. A weekly close clearly under 19.70 would strengthen the medium-term outlook for the Mexican peso.

If the dollar recovers above 20.00, it would alleviate the bearish pressure. Above the next resistance stands at 20.07, followed by 20.22. The critical resistance remains 20.45: a consolidation above would target the 20.70 zone.

USD/MXN daily chart

USD/MXN

Technical levels

USD/MXN

Overview
Today last price 19.9834
Today Daily Change -0.0412
Today Daily Change % -0.21
Today daily open 20.0246
 
Trends
Daily SMA20 20.2491
Daily SMA50 20.2511
Daily SMA100 20.3875
Daily SMA200 20.4444
 
Levels
Previous Daily High 20.1838
Previous Daily Low 20.0202
Previous Weekly High 20.475
Previous Weekly Low 20.0781
Previous Monthly High 20.6382
Previous Monthly Low 19.7269
Daily Fibonacci 38.2% 20.0827
Daily Fibonacci 61.8% 20.1213
Daily Pivot Point S1 19.9686
Daily Pivot Point S2 19.9125
Daily Pivot Point S3 19.8049
Daily Pivot Point R1 20.1322
Daily Pivot Point R2 20.2399
Daily Pivot Point R3 20.2959

 

 

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