USD/MXN has broken below key multi-month support, forming a bearish rounding top pattern and signaling potential downside toward 19.10 and 18.70, Societe Generale’s FX analysts report.
Downside targets include 19.10, 19.00 and possibly 18.70
“USD/MXN broke below the lower limit of its multi-month range and has formed a rounding top pattern, this points towards potential downside. It is in vicinity to a projection of 19.30. The 200-DMA near 20.10 could provide resistance if a short-term rebound develops.”
“The pair looks poised to head lower gradually towards next objectives at last September / October lows of 19.10/19.00 and 18.70.”
Read the full article here
