USD/MXN Down 433 Pips Over Past 4 Hours, 2 Day Down Streak Ended; in a Downtrend Over Past 90 Days

USD/MXN 4 Hour Price Update

Updated July 02, 2020 01:18 AM GMT (09:18 PM EST)

USD/MXN is down 433 pips (0.19%) since the last 4 hour candle (opening the current 4 hour candle near 22.7052), marking the 3rd candle in a row it has gone down. It may be worth observing that USD/MXN was the worst performer of the 37 members in the Forex asset class over the past four-hour candle.

USD/MXN End of Day Recap

Updated 00:30 GMT (04:30 EST)

The back and forth price flow continues for USD/MXN, which started today off at 22.68437, up 112 pips 0.05% from the previous day. Out of the 40 instruments in the Forex asset class, USD/MXN ended up ranking 12th for the day in terms of price change. The price chart of USD/MXN below illustrates.

USD/MXN Technical Analysis

The first thing we should note is that USD/MXN is now close to its 20, 50 and 100 day moving averages, which may act as price barrier for the asset. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 50 day average, which is 723.9 pips away. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. Interestingly, a trend in the other direction exists on the 90 day timeframe, where price is headed down. For additional context, note that price has gone up 5 out of the past 10 days. Oh, and one last thing: if you trade off of candlesticks, note that we’re seeing pin bar pattern appearing here.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on USDMXN, with 1 buy signals on our radar and 5 sell signals. This imputes a buy/sell ratio of 0.2, which is quite bearish. As for the rationale, technical traders seem to be citing the appearance of a fibonacci technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

VENTA SELL MEXICAN PESO BREAKOUT – RETEST PULLBACK 50% OR 61.8 & FIBONACCI LEVELSROMPIMIENTO EN ESPERA DE RETROCESO EN 50 O 61.8%