USD/MXN has made a four-month low at 19.7542. The pair would eye the January low at 19.5488 on a slip through the aforementioned level, Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, reports.

Bearish while below the current May high at 20.3300

“USD/MXN’s recent drop has taken it to a four-month low at 19.7542 above which it may short-term stabilise this week. Once slipped through, however, the December-to-January lows at 19.7002/19.5488 will be targeted but may well hold once more. Below this area the 2017-2021 support line can be found at 19.0412.” 

“We will retain our bearish medium-term forecast while the currency pair remains below the current May high at 20.3300. Above it meanders the 200-day moving average at 20.6442. Much further up the February and late March highs can be spotted at 20.9730/21.0483.”

 

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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

How do emotions affect trade?
Follow up our daily analysts guidance

Subscribe Today!    

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD: Indecisive above 1.1700 as Fed tapering looms

EUR/USD retreats towards 1.1700, teasing monthly low for third straight day. Market sentiment improves over Evergrande, US debt limit extension. ECB policymakers cite inflation risks. Fed remains in focus, as it is expected to provide hints on tapering timing.

EUR/USD News

GBP/USD remains defensive near 1.3650 amid steady USD, Fed eyed

GBP/USD trades virtually unchanged around 1.3650 following the footprint of the previous session. Supply-chain bottlenecks, higher gas prices limited gains for sterling. US dollar remains elevated near 92.30 ahead of the Fed decision.

GBP/USD News

Gold cheers China-led risk-on mood on the way to $1,800, focus on Fed

Gold (XAU/USD) regains upside momentum after a sluggish start to the key day. That said, the yellow metal rises for the fourth consecutive day, up 0.10% around $1,776 during early Wednesday. 

Gold News

Dogecoin price heads south toward $0.10, DOGE bulls show little opposition

Dogecoin price action points to a continuation of the downside pressure it has experienced over the last month. Little supportive price action exists as bulls continue to disappear and fade away. Doge continues to drift lower as bears maintain a relentless assault against the bulls.

Read more

Fed Preview: Three ways in which Powell could down the dollar, and none is the dot-plot

No taper now, but when? That is the main question investors have for the Federal Reserve in its all-important September meeting. The bank buys $120 billion worth of bonds every month and it is set to reduce the pace at some point.

Read more

Forex MAJORS

Cryptocurrencies

Signatures