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USDMXN Consolidating Around 18.75, Eyes Key 18.50 Support

MEXICO
  • Certainly more hawkish than expectations on all fronts with not only all analysts forecasting the smaller hike but also many expecting today’s hike to mark the end of the tightening cycle.
  • Seeing the strength in the peso consolidate now below 18.80, after USDMXN sold off a little under 1% following the release.
  • From a technical perspective, The trend outlook is bearish and the most recent recovery is considered corrective - for now. On the downside, key support and the bear trigger remains at 18.5080, the Feb 02 low.

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