21 Jan 2015
USD/MXN in 2-week highs near 14.80
FXStreet (Edinburgh) - The Mexican peso extends its drop vs. the US dollar on Wednesday, with USD/MXN heading towards 14.8000, or 2-week highs.
USD/MXN hurt by BoC, eyes on ECB
The peso exacerbated today’s decline after the unexpected rate cut by the BoC left the door open for a potential similar measure by the Banxico in case ECB’s quantitative easing programme ends up being below consensus. The not-so-unlikely scenario could boost the sentiment around the euro, hurting in consequence the EM space.
Next of relevance in the Mexican economy will be the 1st half-month Inflation figures due tomorrow.
USD/MXN levels to consider
As of writing the pair is gaining 0.71% at 14.7659 with the next hurdle at 14.8416 (Banxico Intervention level) followed by 14.9831 (high Jan.5) and finally 14.9940 (2015 high Jan.6). On the downside, a break below 14.5780 (low Jan.16) would aim for 14.3770 (low Dec.17 2014) and then 14.2292 (50-d MA).
USD/MXN hurt by BoC, eyes on ECB
The peso exacerbated today’s decline after the unexpected rate cut by the BoC left the door open for a potential similar measure by the Banxico in case ECB’s quantitative easing programme ends up being below consensus. The not-so-unlikely scenario could boost the sentiment around the euro, hurting in consequence the EM space.
Next of relevance in the Mexican economy will be the 1st half-month Inflation figures due tomorrow.
USD/MXN levels to consider
As of writing the pair is gaining 0.71% at 14.7659 with the next hurdle at 14.8416 (Banxico Intervention level) followed by 14.9831 (high Jan.5) and finally 14.9940 (2015 high Jan.6). On the downside, a break below 14.5780 (low Jan.16) would aim for 14.3770 (low Dec.17 2014) and then 14.2292 (50-d MA).