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.

Free Trading Guides
EUR/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Bullish
More View more
Real Time News
  • The #Euro has broken four-month support guiding a recovery against the US Dollar to suggest that the long-term downtrend has been re-engaged. Get your EUR/USD market update from @IlyaSpivak here: https://t.co/FHiGQZ6zvV https://t.co/0ulmLWaZxK
  • The US Dollar may be on the verge of upside breakouts against #ASEAN currencies such as the Singapore Dollar and Malaysian Ringgit after Wuhan virus fears boosted $USDSGD and $USDMYR #SGD #USD - https://www.dailyfx.com/forex/technical/article/special_report/2020/01/29/Dollar-Technical-Outlook-May-Turn-Bullish-as-USDSGD-USDMYR-Rise.html?CHID=9&QPID=917702 https://t.co/1M1GTIo79r
  • $AUDJPY technical positioning hints prices may be on cusp of turning lower after a late-2019 bounce, recoupling with a dovish RBA policy outlook. Get your market update from @IlyaSpivak here: https://t.co/z84Y0V0ZtH https://t.co/e30wIlAkbF
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.45% Gold: -0.20% Silver: -0.42% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/SP0lbABAbq
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.13% 🇨🇦CAD: -0.05% 🇪🇺EUR: -0.06% 🇯🇵JPY: -0.07% 🇨🇭CHF: -0.12% 🇳🇿NZD: -0.17% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/3lgUbBP3XF
  • #EURGBP Outlook Bullish Ahead of #Brexit, BoE Rate Decision - https://www.dailyfx.com/forex/technical/home/analysis/eur-gbp/2020/01/29/EURGBP-Outlook-Bullish-Ahead-of-Brexit-BoE-Rate-Decision.html
  • My trading video for today: "Dow, Risk Attempt Recovery Amid Competing Theme: #Coronavirus, #Fed and #Earnings' https://www.dailyfx.com/forex/video/daily_news_report/2020/01/29/Dow-Risk-Attempt-Recovery-Amid-Competing-Theme-Coronavirus-Fed-and-Earnings.html?ref-author=Kicklighter?CHID=9&QPID=917719 https://t.co/VVmYBjVy63
  • #AUD has been fairly mute following AU CPI data aside vs #NZD. $AUDNZD tends to act as a "risk-neutral" pair (see article below), focusing on relative #RBA to #RBNZ shifts. #RBC and #JPMorgan pushed back on #RBA rate cut bets. RSI divergence hints bottom - https://www.dailyfx.com/forex/fundamental/article/special_report/2018/11/23/AUDNZD-Nets-Out-Market-Mood-Swings-Focus-On-RBA-RBNZ-Policy.html?CHID=9&QPID=917702 https://t.co/c30ePn9wEs
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.46%, while traders in US 500 are at opposite extremes with 71.50%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/CVurL5Fv0L
  • Silver prices suffered their biggest one-day decline since September 2019. Called it: "Silver and Gold Prices Ripe for Retreat Ahead #FOMC Outlook?" https://www.dailyfx.com/forex/market_alert/2020/01/28/Silver-and-Gold-Prices-Ripe-for-Retreat-Ahead-FOMC-Outlook.html https://t.co/25CpcxXtDj
USD/MXN – US Dollar Quiet on Major Support vs Mexican Peso

USD/MXN – US Dollar Quiet on Major Support vs Mexican Peso

2020-01-16 12:00:00
Paul Robinson, Currency Strategist
Share:

USD/MXN Highlights:

  • USD/MXN big-picture triangle triggered last month
  • Sitting on the 2019 low at 18.74, no buyers (or sellers) yet
  • A drop through to confirm breakdown, else could be a fake-break

USD/MXN has been unusually quiet the past few weeks since breaking down out of a long-term triangle pattern. Given the size and duration of the formation (extending back to early 2017), the breakdown could become a serious threat to the downside.

But before sellers can gain traction, the 2019 low at 18.74 needs to be broken. USD/MXN has been trading on this support level for the past week, but again as said already, the price action is unusually quiet, so and a make or break situation is brewing.

A decline below 18.74 will confirm the December breakdown through the underside trend-line of the triangle, and could very well start ushering in a much stronger move and increased volatility. The next level to watch below 18.74 clocks in around 18.40, then the 2018 low near 17.93.

On the flip-side, a hold here of support and reversal could set into a motion a squeeze higher that ends up negating the bearish break in favor a bullish one at some point. To accomplish this, USD/MXN will need to rally beyond 20 to turn the bearish break into a fake one. More on this later should it come to fruition.

For now, patiently waiting to see if 18.74 can break following this period of unusually tight trading conditions. It shouldn’t be much longer before we see a resolution of some sorts.

USD Forecast
USD Forecast
Recommended by Paul Robinson
Find out where our analysts see USD heading in Q1
Get My Guide

USD/MXN Weekly Chart (bearish break in place)

USDMXN weekly chart

USD/MXN Chart by TradingView

USD/MXN Daily Chart (18.74 is a big level)

USD/MXN daily chart, 18.74 is a big level

USD/MXN Chart by TradingView

***Updates will be provided on the above thoughts and others in the trading/technical outlook webinars held at 1030 GMT on Tuesday and Friday. If you are looking for ideas and feedback on how to improve your overall approach to trading, join me on Thursday each week for the Becoming a Better Trader webinar series.

Resources for Forex & CFD Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

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

DISCLOSURES

News & Analysis at your fingertips.