USD/MXN may rise to 19.7458 - 20.3298

Our pivot point is at 17.5695.

Our preference

The upside prevails as long as 17.5695 is support.

Alternative scenario

The downside breakout of 17.5695 would call for 16.6016 and 16.0255.

Comment

The RSI is above 70. It could mean either that the pair is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the price is trading above both its 20 and 50 period moving average (respectively at 17.1785 and 16.9688).

Supports and resistances

21.4976 **

20.9137 *

20.3298 **

19.7458

18.4334 last

17.9498

17.5695 **

16.6016 *

16.0255 **

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