- The dollar benefits from a sharp fall in the stock markets throughout the world.
- The Mexican peso is among the worst performing currencies on Monday.
- The USD / MXN reaches the 20.20 zone, the highest since August 30.
The USD / MXN is rising for the third day in a row and accelerated the advance. He’s having the steepest spike in weeks. After breaking 20.00 it jumped to 20.20, the highest level since August 30.
The 20.20 barrier stopped the USD / MXN rally and is trading at 20.15. The key factor in the advance of the crossing is being a generalized rise in the dollar throughout the market, as a result of a sharp fall in the stock markets throughout the world.
On Wall Street, the Dow Jones points to a negative open of 1.7% and the Nasdaq 1.50%. In Europe, the main squares fell by more than 2%. Market fears originated in China with the plight of real estate giant Evergrande.
Ehe Mexican peso is among the most affected currencies and is one of those that fell the most on Monday. It can be affected by the fall in oil prices and also by technical factors. The break of the USD / MXN of 20.00 and then 20.10, gave more strength to the bullish tone.
If it gets affirmed above 2.20 / 25, the next target can be seen in the 20.45 area, where the August highs are. To the downside, a return below 20.05 would ease the pressure to the upside. Below supports are at 19.97, followed by 19.85.
Technical levels
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