Break above 17.42 essential to affirm an extended bounce – SocGen

USD/MXN rebound has faltered near recent pivot high of 17.42. Economists at Société Générale analyze the pair’s technical outlook.

A pullback can be expected towards 16.80 in the short-term

Daily MACD is struggling to maintain above its trigger denoting lack of steady upward momentum. 

A break above 17.42 is essential to affirm an extended bounce. 

Short-term, a pullback can be expected towards 16.80, the 76.4% retracement of recent bounce. If the pair fails to defend this, one more down leg can’t be ruled out.

 

Source: https://www.fxstreet.com/news/usd-mxn-break-above-1742-essential-to-affirm-an-extended-bounce-socgen-202308221301