USD/MXN rebounds from multi-month lows and tests levels near 18.75

Matías Salord FXStreet

USD/MXN makes important rebound, is the MXN’s rally over?
Greenback rises against most emerging market currencies on Tuesday.

The USD/MXN pair is having the best performance in weeks, boosted by a rally of the greenback against most emerging market currencies and amid risk aversion.

Moving away from multi-month highs

On Monday, USD/MXN bottomed at 18.64 the lowest intraday level since September 2018 and then rebounded modestly. The 18.60/65 band is an important support that so far capped the decline of the pair.

The recovery of the US dollar gained momentum on Tuesday and it found resistance below 18.75, before pulling back to 18.69. As of writing, it is back near daily highs supported by a deterioration in market sentiment following the confirmation of the first US case of coronavirus. Now the virus has spread from China to at least four countries.

If the negative sentiment prevails and the US dollar holds its strength, USD/MXN could continue to recover. If the pair breaks above 18.75, the next level to watch is 18.85 (20-day moving average) followed by 19.00. While on the flip side, a decline back under 18.68 would expose the 18.60/65 support area.

More levels

USD/MXN

Overview
Today last price	18.7291
Today Daily Change	0.0622
Today Daily Change %	0.33
Today daily open	18.6669

Trends
Daily SMA20	18.8522
Daily SMA50	19.1084
Daily SMA100	19.2498
Daily SMA200	19.2487

Levels
Previous Daily High	18.7915
Previous Daily Low	18.6407
Previous Weekly High	18.8715
Previous Weekly Low	18.6641
Previous Monthly High	19.6294
Previous Monthly Low	18.7977
Daily Fibonacci 38.2%	18.6983
Daily Fibonacci 61.8%	18.7339
Daily Pivot Point S1	18.6079
Daily Pivot Point S2	18.5489
Daily Pivot Point S3	18.4571
Daily Pivot Point R1	18.7587
Daily Pivot Point R2	18.8505
Daily Pivot Point R3	18.9095

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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