- The dollar rises modestly trying to stabilize.
- Mexican peso remains firm near the highs of the year.
- USDMXN starts building resistance at 19.60.
USDMXN is rising for the second day in a row, but unable to clearly assert itself above 19.50, reflecting that the bearish tone remains in place. The dollar rises modestly in the market, in what is a correction of the recent fall, which has not yet removed the greenback from a certain state of vulnerability.
The rise of the USDMXN on Monday is due to a general advance of the dollar, but without much force. After the sharp drop last week, the dollar seeks to consolidate, supported by a rise in Treasury bond yields. The short-term trend continues against the USD.
Wall Street operates at a loss which plays against the Mexican peso. In any case, the advance of the USDMXN is being limited and without moving away from 19.50. The 19.60 zone is becoming the resistance to watch. A confirmation above could give the dollar support.
In the opposite direction, below 19.50 bearish pressures could intensify. The 19.25/30 area, where last week’s low is (lowest level since March 2020) is the support that protects from a return to the 19.00 area.
Technical levels
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.
