Free Trial

TECHS: Price Signal Summary: USDCLP Holds Onto Its Gains

  • The recent consolidation in USDMXN appears to be a correction. The outlook is bearish. Attention is on key support at 19.5987, Jun 9 low where a break would strengthen a bearish case. Price needs to get above 20.2153, Jun 24 high to alter the picture.
  • USDBRL is firm as the current corrective bounce extends. The pair has breached the 50-day EMA. A continued push higher would signal scope for a stronger rally near-term. This would open 5.3839, 50.0% of the Mar - Jun sell-off. A failure to hold onto gains above the EMA would instead signal a potential top and if confirmed, would expose 4.8934, the Jun 25 low.
  • USDCLP has rallied sharply higher this week and is holding onto gains. The continued recovery highlights a developing bullish theme and attention is on the key resistance and bull trigger at 757.60, Jun 22 high. A break would negate the recent bearish focus and instead confirm a resumption of the recovery that started May 10. A move higher would open 769.99, Nov 30, 2020 high. Key support has been defined at 722.25, Jun 30 low.

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.