USD/MXN may fall 698 - 1029 pips

Our pivot point stands at 16.8448.

Our preference

Target 16.6671.

Alternative scenario

The upside breakout of 16.8448, would call for 16.9006 and 16.9339.

Comment

The RSI is below its neutrality area at 50. The MACD is positive and below its signal line. The MACD must penetrate its zero line to expect further downside. Moreover, the pair is trading under its 20 period moving average (16.7863) but above its 50 period moving average (16.7489).

Supports and resistances

16.9339 **

16.9006 *

16.8448 **

16.8229

16.7700 last

16.7002

16.6671 **

16.6339 *

16.6008 **

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