USD/MXN has damaged under a key consolidation vary, forming a bearish rounding prime sample and signaling additional draw back dangers towards multi-month lows, Société Générale’s FX analysts notice.
Rebound doubtless capped under 19.85
“USD/MXN broke the decrease restrict of a multi-month consolidation and has shaped a rounding prime sample which typically factors in the direction of potential draw back. It’s now difficult the trough of final week close to 19.30.”
“If a short rebound develops, decrease finish of earlier vary at 19.67/19.85 may cap upside. Subsequent targets might be situated ultimately September / October lows of 19.10/19.00 and 18.70.”
