USD/MXN Heads Down For the 5th Day In A Row; in a Downtrend Over Past 90 Days

USD/MXN Price Recap

USD/MXN is down 621 pips (0.33%) since yesterday (with its current price near 18.5362), marking the 5th day in a row a decrease has occurred. This move happened on fewer tick price changes which may be a proxy for volume, as yesterday’s total tick count was down 33.58% from the day before — and down 42.65% from the same day the week before. Relative to other instruments in the Forex asset class, USD/MXN ranked 39th yesterday in terms of percentage price change. Here is a price chart of USD/MXN.

USD/MXN Technical Analysis

Notably, USD/MXN is now close to its 20 and 50 day averages, located at 18.71 and 18.8473 respectively, and thus may be at a key juncture along those timeframes. Related to the moving average crossover is that USD/MXN may have broken its trend on the 30 day basis, as the trend’s momentum appears to be slowing down. Trend traders will want to observe that the strongest trend appears on the 90 day horizon; over that time period, price has been moving down. For additional context, note that price has gone down 8 out of the past 10 days.

A final note on correlations: over the past 7 days, the currency pair bearing the strongest correlation to USD/MXN has been USD/CAD — a common occurrence, given the presence of USD in both currency pairs. As for pairs with the least correlation, that belongs to GBP/JPY over the past 7 days, but USD/HKD over a two week period.

The View From Around the Web

Not much in terms quality buy/sell signals we’re seeing for USDMXN; just 0 sell signals and 2 buy signals. This imputes a buy/sell ratio that’s infinite! But, let’s take that with a grain of salt. 🙂 Here’s a piece we found on forexlive.com; below is a short snippet from it to give you a taste.

A look at the Mexican pesoPerformance in2020: -2%Last day range:18.5657 – 18.604852-weekrange: 18.5680 – 20.2528The USDtrades at 18.5740 against the – that’s the lowest the USD/MXN hasbeen to since October 2018.