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Price Signal Summary - USDMXN Gains Considered Corrective

LATAM FX
  • The USDMXN trend condition is unchanged and a bear cycle remains in play following the pullback from the Apr 19 high. However, recent gains highlight a short-term corrective cycle and this has resulted in a move above the 50 -day EMA, at 16.8191. A continuation higher would signal scope for a climb towards 17.1721 and 17.3709, the 38.2% and 50.0% retracement points of the bear leg between Apr 19 - May 21. For bears, a break of key support at 16.5282, the May 21 low, would resume the recent bear cycle and open 16.2616, the Apr 9 low, a key support and bear trigger.
  • A bear trend in USDCLP remains intact and recent bearish price action reinforces current conditions. The break in early May of support at 935.63, the Mar 15 low, marked an important technical breach and highlighted a stronger reversal. 886.96, the 76.4% retracement of the Dec 1 ‘23 - Feb 26 bull leg, has been pierced. The 20-day EMA has been pierced. The next resistance to watch is 931.66, the 50-day EMA. The latest recovery appears to be a correction - for now.
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  • The USDMXN trend condition is unchanged and a bear cycle remains in play following the pullback from the Apr 19 high. However, recent gains highlight a short-term corrective cycle and this has resulted in a move above the 50 -day EMA, at 16.8191. A continuation higher would signal scope for a climb towards 17.1721 and 17.3709, the 38.2% and 50.0% retracement points of the bear leg between Apr 19 - May 21. For bears, a break of key support at 16.5282, the May 21 low, would resume the recent bear cycle and open 16.2616, the Apr 9 low, a key support and bear trigger.
  • A bear trend in USDCLP remains intact and recent bearish price action reinforces current conditions. The break in early May of support at 935.63, the Mar 15 low, marked an important technical breach and highlighted a stronger reversal. 886.96, the 76.4% retracement of the Dec 1 ‘23 - Feb 26 bull leg, has been pierced. The 20-day EMA has been pierced. The next resistance to watch is 931.66, the 50-day EMA. The latest recovery appears to be a correction - for now.