The USD/MXN pair continues to grind lower within a well-defined descending channel, marked by a series of lower highs and lower lows since April. Although the pair has shown short-term stability near 18.58 support, the broader trend remains bearish.
Price is currently testing the channel’s upper boundary near 18.70, with both the 50-day and 200-day SMAs well above current levels, reinforcing the downside bias. Any bounce is likely to face headwinds unless bulls manage to push the pair back above 19.07 and 19.49 — prior swing levels and confluence zones with moving averages.
Indicators:
MACD remains below zero, showing persistent bearish momentum despite some recent flattening.
RSI sits at 36, indicating mild oversold conditions but with no strong reversal signal yet.
Key Levels:
Support: 18.58 (recent low and channel support).
Resistance: 18.70 (channel top), followed by 19.07 and 19.49.
Conclusion:
USD/MXN remains pressured within a bearish structure. A breakout above 18.70 may trigger short-covering toward the 19.00–19.50 zone, but bears remain in control while price stays beneath key moving averages. Watch for a decisive break of either channel boundary to determine directional bias going forward.
-MW
Price is currently testing the channel’s upper boundary near 18.70, with both the 50-day and 200-day SMAs well above current levels, reinforcing the downside bias. Any bounce is likely to face headwinds unless bulls manage to push the pair back above 19.07 and 19.49 — prior swing levels and confluence zones with moving averages.
Indicators:
MACD remains below zero, showing persistent bearish momentum despite some recent flattening.
RSI sits at 36, indicating mild oversold conditions but with no strong reversal signal yet.
Key Levels:
Support: 18.58 (recent low and channel support).
Resistance: 18.70 (channel top), followed by 19.07 and 19.49.
Conclusion:
USD/MXN remains pressured within a bearish structure. A breakout above 18.70 may trigger short-covering toward the 19.00–19.50 zone, but bears remain in control while price stays beneath key moving averages. Watch for a decisive break of either channel boundary to determine directional bias going forward.
-MW
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.