- Mexican peso remains with an upward trend against the dollar.
- USD / MXN is on track to close the year with gains, but a long way from the highs.
The USD / MXN is falling for the third day in a row, and on Thursday it is consolidating below 20.00, although it is a low volume and range travel day. It is trading at 19.83, the lowest level of the day, and close to the December floor, which is at 19.70. The general weakness of the dollar is the main factor behind the decline.
In the last session of 2020, USD / MXN does not show significant movements and remains limited, in consolidation mode, although on Thursday below 20.00, which increases the downside risks in the short term.
Immediate support in USD / MXN is at 19.80 and then 19.70 appears. A close below the latter would enable a bearish extension with a potential target of 19.45 / 55. At 20.25 and 20.60 there is the next resistance, while at 21.20 a downtrend line of eight months is past, which if broken could modify the downward bias.
Mexican peso closes year negative against the dollar
He USD / MXN is on its way to end the year with a 5.30% rise. In any case, it does so far from the peak of April when it came to operate for a few minutes above 25.00. In turn, the short-term tone is favorable to the Mexican peso.
Among the currencies of the region, the one that performed the best was the Chilean peso. The USD / CLP fell 5.50%. This has to do with a recovery of the Chilean currency after the collapse it had had in the fourth quarter of 2019, in the midst of large social protests in Chile.
The currencies that lost the most value were those of Venezuela and Argentina. The Turkish lira and the Russian ruble they will also end the year with significant drops.
Technical levels
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