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Price Signal Summary - USDBRL Bull Cycle Still In Play

LATAM FX
  • USDMXN bounced Tuesday and has added to this week’s gains. Tuesday’s rally highlights the fact that this week's attempted break of support at 19.8126, the Aug 15 low, has failed. A continuation higher would further undermine a recent bearish threat and expose resistance at 20.2944, the Sep 1 high. On the downside, a break of 19.7533, the Sep 12 low, would reinstate a bearish theme.
  • USDBRL is trading higher and above this month's recent highs. The breach of 5.2573, Sep 1 high signal scope for an extension and the focus shifts to resistance at 5.3157, the Aug 3 high. A break of this level would strengthen bullish conditions. Initial firm support has been defined at 5.0790, the Sep 13 low.

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