News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • RT @FxWestwater: Australian Dollar Outlook: $AUDUSD Unfazed by Falling Westpac Confidence Link: https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2021/01/20/Australian-Dollar-Outlook-AUDUSD-Unfazed-by-Falling-Westpac-Confidence.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Westwater&utm_campaign=twr https://t.co/uSsC…
  • Japanese Yen Price Analysis: AUD/JPY, EUR/JPY Poised to Gain Ground - https://www.dailyfx.com/forex/technical/home/analysis/eur-jpy/2021/01/20/Japanese-Yen-Price-Analysis-AUDJPY-EURJPY-Poised-to-Gain-Ground.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $JPY $AUDJPY $EURJPY https://t.co/LUS1GfqGF5
  • Heads Up:🇮🇩 Business Confidence (Q4) due at 04:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-01-20
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.77% Silver: 0.67% Gold: 0.41% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/vqhNULQSZH
  • A Symmetrical Triangle and long-term trendline resistance provide key levels to watch for NZD/CHF and CAD/CHF. Get your market update from @FxWestwater here:https://t.co/kgfZ8qZRRz https://t.co/BhpXTXz5Ir
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.31% 🇨🇦CAD: 0.17% 🇬🇧GBP: 0.16% 🇪🇺EUR: 0.14% 🇳🇿NZD: 0.13% 🇨🇭CHF: 0.12% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/U975Up5oUh
  • The #HSI looks set to re-challenge the 28,970 resistance. Will it succeed and attempt 30,000 mark today? https://t.co/ujmzRDsByq
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in EUR/JPY are at opposite extremes with 64.29%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/wdG2u51Kl2
  • Japanese Chief Cabinet Secretary Kato: - Vaccine schedule can't be fixed before approval - Tokyo area still facing severe Covid situation - BBG $USDJPY
  • The British Pound may continue gaining ground against its haven-associated counterparts in the near term. However, the currency may give up gained ground against the New Zealand Dollar.Get your $GBP market update from @DanielGMoss here:https://t.co/cIp4BfbsXT https://t.co/VS6g0Z3FKO
Dollar vs Mexican Peso Technical Price Outlook: USD/MXN Rally at Risk

Dollar vs Mexican Peso Technical Price Outlook: USD/MXN Rally at Risk

Michael Boutros, Strategist

Mexican Peso Technical Price Outlook: USD/MXN Near-term Trade Levels

  • Mexican Peso updated technical trade levels – Weekly & 240min Charts
  • USD/MXN recovery responding to confluence resistance
  • Risk for a deeper correction while below 25.3556.

The US Dollar rallied more than 8.6% off the April lows against the Mexican Peso with USD/MXN responding to key downtrend resistance late-last week. While the broader outlook remains constructive, the recent advance remains vulnerable while below this threshold as we head into the close of the month. These are the updated targets and invalidation levels that matter on the USD/MXN technical price charts. Review my latest Strategy Webinar for an in-depth breakdown of the setupswe’re tracking this week.

Starts in:
Live now:
Jan 25
( 13:01 GMT )
Live Weekly Strategy Webinars on Mondays at 12:30GMT
Weekly Scalping Webinar
Register for webinar
Join now
Webinar has ended

Mexican Peso Price Chart – USD/MXN Weekly

Mexican Peso Price Chart - USD/MXN Weekly - Dollar vs Peso Trade Outlook - Technical Forecast

Chart Prepared by Michael Boutros, Technical Strategist; USD/MXN on Tradingview

Technical Outlook:In my last Mexican Peso Price Outlook we noted that USD/MXN remained vulnerable after responding to multi-year uptrend resistance at “25.4474/5466 – a region defined by pitchfork resistance, the March high and the 200% extension of the 2017 advance.” The threat of a deeper setback remains while below this threshold with Peso continuing to trade within the confines of a massive range over the past three weeks.

Monthly open support rests at 23.6988 with a break below the record high-week close at 23.3375 needed to shift the broader focus lower- subsequent support objectives eyed at the 38.2% retracement at 23.0065 and the 2017 high / 50% retracement at 22.0376/1503- look for a bigger reaction there IF reached. A topside breach / close above the upper parallel would be needed to validate a breakout to fresh record highs with the 2.618% ext eyed at 27.7170.

Mexican Peso Price Chart – USD/MXN 240min

Mexican Peso Price Chart - USD/MXN 240min - Dollar vs Peso Trade Outlook - Technical Forecast

Notes: A closer look at Peso price action shows USD/MXN trading within the confines of a descending pitchfork formation extending off the monthly high with an embedded ascending formation guiding this recent advance. Note that price stretched into confluence resistance at 25.2416/3556 on Friday before reversing sharply with the immediate advance at risk while below the high close / 78.6% retracement. Interim support rests at 24.5177/6147 – look for a reaction there IF reached with a break lower needed to shift the focus lower towards the 61.8% retracement at 24.0416.

USD Forecast
USD Forecast
Recommended by Michael Boutros
Download Our Latest Quarterly US Dollar Price Forecasts!
Get My Guide

Bottom line: The recent USD/MXN recovery remains vulnerable while within this descending formation. Form at trading standpoint, the immediate focus is on a break of the 24.5177–25.3556 range for guidance. Be on the lookout for topside exhaustion while below the upper parallel with a break below up-slope support needed to shift the focus lower.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

---

Key US / Mexico Data Releases

Mexican Peso vs US Dollar Key Data Releases - USD/MXN Economic Calendar - Dollar / Peso Event Risk

Economic Calendar - latest economic developments and upcoming event risk.

Previous Weekly Technical Charts

--- Written by Michael Boutros, Technical Strategist with DailyFX

Follow Michael on Twitter @MBForex

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES