Price of the dollar in Mexico today: the Mexican peso recovers land before the Fed

• The USD/MXN goes back from the maximum of three days reached on Tuesday.
• The US dollar gives profits after reaching its highest level in a week.
• The focus of Mexican peso operators will be in the FED monetary policy decision and in the points of the points graph.
• The technical configuration points to a continuation of the rebound of the Mexican weight.

The USD/MXN reached in the American session on Tuesday a maximum of three days on 19.05, and from that moment it was slowly yielding, until on Wednesday fell to a daily minimum in 18.94. At the time of writing, the par quotes over 18.97, giving 0.09% in the day.

The housing and employment data of the US does not help the dollar before the Fed

The dollar index (DXY) reached in the first part of Wednesday its highest level in a week at 98.88, promoted by the last -hour news on Tuesday that pointed to a possible war intervention of the United States in Iran. After this information is not confirmed, the green ticket has lost bellows, falling in the morning Europe to a daily soil in 98.51 and losing after the opening of Wall Street 0.26% in 98.58.

Before the American Opening, the US published several relevant data, which did not help the dollar recover, since they showed negative results at a general level. On the one hand, the Starts of housing fell 9.8% in May After climbing 2.7% in April, while construction permits dropped by 2% after 4% fall the previous month. On the other hand, the Weekly Petitions of Unemployment Subsidy were 245,000 last weekbelow the previous 250,000 (although the figure was reviewed upwards from 248,000). Although the data was in line with the expected, the continuous unemployment subsidy requests fell to 1,945,000 from 1,951,000, but the expectation of 1,940,000 worsened slightly.

While looking at the Middle East, where the conflict between Israel and Iran continues to intensify for the sixth consecutive day, the focus of the USM/MXN operators now focuses to the Fed, which on Wednesday will announce its monetary policy decision at 18.00 GMT. Although variations in interest rates are not expected, which will be maintained at 4.5% according to all forecasts, The key will be in the points graph, since a review of the projections on inflation and the number of type cuts That there may be a year could generate great volatility in the dollar, dragging their counterparts.

In Mexico, today the data of Private spending of the first quarterE, showing a 0.4% drop at an intertramestral level with respect to the decrease of the previous 1.4%, and a decrease of 0.6% year -on -year compared to the increase of the previous 0.4%. The annual indicator has shown its first fall in four years, specifically from the first third of 2021.

USD/MXN Price levels

The relative force index (RSI) of 14 is below 50 in short, medium and long term temporalities, pointing in all of them the possibility of an extension of the USD/MXN setback in the next few hours.

He First support is to break to extend the descent is around 18.95/18.94where is the mobile average of 100 periods in one hour graph and the minimum of the day. Below, the USD/MXN will find a retaining wall in 18.82, land of 2025 and the last ten months reached on June 16. A rupture of this level would point to the 18.60 zone, where the minimums of the end of August are.

The initial resistance appears in the area of ​​99.10/11, where the maximums of last week are, before heading around 19.78, May roof.

USD/MXN 1 hour graphic