USD/MXN has rebounded after retesting 2020 lows near 18.50/18.30. The 19.40 mark must be overcome to extend the bounce, economists at Société Générale report.
Signals of reversal still not visible
“USD/MXN has reached the earlier highlighted target of 18.50/18.30 representing the low of 2020. Holding above this zone, a rebound is expected. However, last May's low of 19.40 is likely to be a short-term resistance. Failure to reclaim would mean continuation in phase of decline.”
“If the pair establishes itself below 18.50/18.30, the down move could persist towards projections of 17.60.”
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