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TECHS: LatAm FX Price Signal Summary: USDBRL Finds Support At The 50-day EMA

EMERGING MARKETS
  • USDMXN is bid once again.
    • Yesterday's intraday high of 20.2915 marks today's bull trigger.
    • A break would resume recent strength and pave the way for gains towards 20.50 ahead of 20.6641, the Dec 21 high.
    • Initial support is at 19.8546, Jan 25 low.
  • USDBRL remains at the lower end of this week's range following yesterday's sharp sell-off.
    • The pair has found support at the 5.3176 level marking the 50-day EMA - yesterday's low was at 5.3133.
    • An ability to hold above this average would be a positive development as technical indicators continue to highlight a bullish backdrop.
    • A recovery would refocus attention on 5.5262, Jan 25 high.
    • Sub 5.3133 level opens 5.2358 instead, Jan 21 low.
  • USDCLP is pushing higher again. Last week's low of 711.00 on Jan 21 provided strong support. Attention is on resistance at 739.64, Jan 18 high. A break would open 751.20, the Jan 13 high. Firm support is seen at 720.88, Jan 22 low.

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