USD/MXN may rise 1905 - 2792 pips

Our pivot point stands at 17.7030.

Our preference

The upside prevails as long as 17.7030 is support.

Alternative scenario

The downside breakout of 17.7030 would call for 17.5541 and 17.4654.

Comment

The RSI is trading above 70. This could mean that either the pair is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is above its signal line and positive. The configuration is positive. Moreover, the price is above its 20 and 50 period moving average (respectively at 17.7307 and 17.6983).

Supports and resistances

18.2817 **

18.1930 *

18.1042 **

18.0155

17.8250 last

17.7615

17.7030 **

17.5541 *

17.4654 **

Number of asterisks represents the strength of support and resistance levels.