Technical analysis: Mexican Peso depreciates as USD/MXN rallies above 17.90
As mentioned on Monday, “The USD/MXN downtrend begins to be threatened due to political uncertainty.”
The pair has decisively broken above the 200-day Simple Moving Average (SMA) and continued to extend its gains. The pair hit 18.19 during the European session but recovered some ground during the North American session.
Even though the Relative Strength Index (RSI) is strongly overbought, momentum has shifted to the upside.
That said, if the USD/MXN clears the psychological 18.00 figure, up next would be the year-to-date (YTD) high of 18.15. Further gains are seen above the latter, on October 6, 2023, at a high of 18.48, before the exotic pair trends up toward the 19.00 figure.
On the downside, if sellers push the exchange rate below the 17.00 figure, that could pave the way to test the YTD low of 16.25
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.