- USD/MXN trades in a range around 17.60/17.70 on Monday.
- The price of the Dollar maintains its strength against its main rivals.
- The focus of the week is on the US inflation data that will be published on Tuesday.
The USD/MXN began the week with a fall at the Asian opening to 17.59, a two-day low, but immediately afterwards it recovered some ground to operate in a range between 17.60 and 17.70 in the European session and the beginning of the American session. .
The price of the Dollar remains firm while waiting for inflation
He Dollar Index (DXY) It reached the 106.00 zone on Friday, its highest level in ten days. Today, Monday, the greenback briefly fell to a two-day low of 105.67, but quickly rose to 105.95, the daily high. At the time of writing, the DXY is trading above 105.95, gaining 0.12% daily.
Caution dominates the markets before the publication of the important US inflation data for the month of October. Consensus expects the annual Consumer Price Index (CPI) to moderate to 3.3% from 3.7%. However, the core CPI, which excludes food and energy, is estimated to remain unchanged at 4.1%. Any significant variation in these figures could generate high volatility in the Dollar against its counterparts.
Later in the week the focus will be on US October retail sales, which are forecast to fall 0.1% monthly after growing 0.7% in September. In Mexico there will be no relevant publications during the week.
USD/MXN Price Levels
The USD/MXN is currently trading above 17.64, losing a slight 0.02%. Breakout of the day’s range northward could find resistance at the psychological level of 18.00. Above, the pair will find a barrier around 18.15, zone of two-week highs (October 30). Further up, an important containment area awaits between 18.42/18.49, October’s highest levels.
To the downside, the pair will find initial support at 17.45, minimum of November 7. A break lower will target 17.28, a seven-week low tested on November 3 after the NFP. Below, the region of 17.00/16.99 awaits, the psychological zone and the minimum of September 20, respectively.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
