USD/MXN has rebounded after touching 18.20, but the pair faces resistance at the 50-DMA and descending trend line near 18.40, leaving upside momentum uncertain, Société Générale’s FX analysts note.
Daily MACD shows positive divergence
“USD/MXN has experienced a bounce after briefly breaching the lower limit of recent consolidation at 18.20. While the daily MACD continues to show positive divergence, clear signals of a large bounce are yet to emerge. A series of higher peaks and troughs is still lacking in price action on the daily timeframe chart.”
“The 50-DMA near 18.40, which is also the descending trend line drawn since April is first resistance. Inability to establish beyond this hurdle may denote risk of extension in decline.”
Source: https://www.fxstreet.com/news/usd-mxn-bounces-from-recent-lows-societe-generale-202512090929
