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TECHS: LatAm FX Price Signal Summary: USDBRL Testing Trendline Support And The 50-day EMA

EMERGING MARKETS
  • USDMXN has failed to recover from the key short-term trendline support drawn off the Jan 21 low. The line intersects at 20.3817 today and price is trading below this level. A clear break would strengthen a bearish argument and signal scope for an extension of the sell-off that started Mar 8. This would open 20.1456, Feb 18 low. Resistance has been defined at 20.9322, Mar 12 high.
  • USDBRL is testing trendline support and the 50-day EMA. The trendline is drawn off the Dec 14 low and intersects at 5.5151. The 50-day EMA is 5.4926 and note, yesterday's low is 5.4776. A clear break of this key support area would signal scope for a deeper pullback and would open 5.3913, the Feb 24 low. On the upside, resistance is at 5.6827, Mar 17 high.
  • USDCLP remains below 743.10, Mar 8 high. A deeper pullback would risk a move towards support at 699.19, Feb 24 low. Key resistance and the bull trigger is 743.10. A break would highlight potential for a stronger rally.

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