- USD/MXN rebounds strongly from its lowest level in almost three years.
- A strong support zone above 18.50 and Risk Aversion trigger the bounce.
USD/MXN rises on Wednesday after touching 18.55, the lowest level since February 2020. The rebound represents a correction after falling steadily since the beginning of the year.
The ongoing run faces resistance at 18.75. An upside break would target 18.85. The next vital resistance lies at 19.00/05, which should limit the upside. Above is 19.20 which, if broken, would weaken the Mexican peso.
A deterioration in market sentiment favored a correction in USD/MXN, which would continue to receive support while Wall Street values continue to fall.
The Mexican peso needs to stay below 18.70 to keep the doors open for another test of the 18.55 zone and the 2020 low at 18.50. A break down would target 18.30.
USD/MXN daily chart
|Last price today||18.7619|
|daily change today||0.0886|
|today’s daily variation||0.47|
|today’s daily opening||18.6733|
|previous daily high||18.8343|
|previous daily low||18.6649|
|Previous Weekly High||19.1951|
|previous weekly low||18.7331|
|Previous Monthly High||19.9181|
|Previous monthly minimum||19.1084|
|Fibonacci daily 38.2||18.7296|
|Fibonacci 61.8% daily||18.7696|
|Daily Pivot Point S1||18.6141|
|Daily Pivot Point S2||18.5548|
|Daily Pivot Point S3||18.4447|
|Daily Pivot Point R1||18.7835|
|Daily Pivot Point R2||18.8936|
|Daily Pivot Point R3||18.9528|
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.