USD/MXN rises to test 19.25, critical short-term resistance

  • Stronger US Dollar boosts USD/MXN to the upper limit of the current range. 
  • Pair up for the second-day in-a-row, bullish bias but capped by 19.25. 

The USD/MXN pair is rising for the second-day in-a-row on Tuesday and it continues to trade in the 19.00/19.25 range, but now closer to the upper limit. 

Earlier today, the pair fell to 19.10 amid an improvement in market sentiment on the back US-China trade deal negotiations. Later, the Greenback gained momentum amid higher US yields and then by upbeat US data. USD/MXN jumped to 19.23, just two cents below last week highs. 

As of writing, trades at 19.20, with a bullish bias, still limited by the 19.25 strong resistance area. On the flip side, the critical support continues to be 19.00/05; a break lower would open the door for a test of the 2019 low at 18.74 .

Inflation data and Banxico 

On Thursday, inflation data is due in Mexico. Analysts at BBVA expect an increase in the Consumer Price Index of 0.51% (MoM) in October and 2.99% from a year ago. The report will be relevant for the Bank of Mexico Governing Council. Next week they will likely reduce the key interest rate by 25 or 50bp. 

The slowdown in inflation, a relatively steady Mexican Peso and the easing in policy from the Federal Reserve, allows a more aggressive rate cut cycle in Mexico.  “We continue to expect Banxico to ease its monetary policy stance somewhat faster than market expectations. We expect the policy rate to reach 7.0% by year-end and 6.0% by year-end 2020, reaching neutral levels in real terms in the summer of next year. We think that an easing stance would be more appropriate but the Board will likely remain cautious”, added BBVA analysts. 


Today last price 19.2148
Today Daily Change 0.0287
Today Daily Change % 0.15
Today daily open 19.1861
Daily SMA20 19.2214
Daily SMA50 19.4864
Daily SMA100 19.3788
Daily SMA200 19.2629
Previous Daily High 19.2103
Previous Daily Low 19.0434
Previous Weekly High 19.246
Previous Weekly Low 19.0176
Previous Monthly High 19.8623
Previous Monthly Low 19.0176
Daily Fibonacci 38.2% 19.1465
Daily Fibonacci 61.8% 19.1072
Daily Pivot Point S1 19.0829
Daily Pivot Point S2 18.9797
Daily Pivot Point S3 18.916
Daily Pivot Point R1 19.2498
Daily Pivot Point R2 19.3135
Daily Pivot Point R3 19.4167



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD turns down as Trump touts trade hopes, after Lagarde's debut

EUR/USD is trading below 1.1130 after President Trump tweeted that the US is getting close to deal with China. Earlier, the ECB left rates unchanged and President Lagarde acknowledged the recent upturn.


GBP/USD retreats further from nine-month highs, nears 1.3100

GBP/USD has extended its decline amid renewed EUR demand within ECB’s monetary policy announcement. UK elections weigh as polls show a further narrowing in Conservatives’ advantage.


Federal Reserve leaves rates unchanged, is undecided about the future

The Federal Reserve kept interest rates steady and the governors indicated that they expected little change in the economy or Fed policy for the next year.

Read more

Gold soars with ECB, retakes 1,480.00

The bright metal hit a fresh weekly high at 1,483 as dismal US data and ECB’s monetary policy announcement added pressure on a vulnerable dollar. Spot gold at critical Fibonacci resistance.

Gold News

USD/JPY: Greenback jumps to four-day highs as trade tension ease

USD/JPY broke above the 109.00 handle as Trump is upbeat on the trade deal. Resistance is seen at the 109.26 and 109.43 price levels.