USD/MXN Forecast Today- 31/10: USD Hits MXN Hard (Chart)
Date
10/31/2024 2:36:38 PM
(MENAFN- Daily Forex) In my daily analysis of exotic currency pairs, the first thing that has captured my attention is that the US dollar continues to strengthen things being equal, the Mexican peso is a special currency pair, due to the fact that there is so much interconnectivity between these 2 economies many of my readers in places like Europe, Asia, Africa, and other places will not know this, the pair typically moves in the exact opposite direction of what is expected. Top Forex Brokers 1 Get Started 74% of retail CFD accounts lose money Read Review BrokerGeoLists({ type: \u0027MobileTopBrokers\u0027, id: \u0027mobile-top-5\u0027, size: 5, getStartedText: \u0060Get Started\u0060, readReviewText: \u0060Read Review\u0060, Logo: \u0027broker_carrousel_i\u0027, Button: \u0027broker_carrousel_n\u0027, });The most common thing for Mexican migrants to do in the United States is to send back money to help family and friends millions of Mexican migrants that live in the United States have a major influence on this currency pair, due to the fact that when things look good for Mexican migrants, essentially meaning that the US economy is humming right along, there will be plenty of workers sending money back across the border, driving up demand for the Mexican peso also works in quite well with the idea of a higher interest rate in Mexico, and therefore I think it works in concert. That being said, there are times of concern, people prefer to own the US dollar, mainly due to investing in the US Treasury markets which of course need greenbacks AnalysisThe technical analysis for the USD/MXN currency pair is very strong as we are now well above the 20 MXN level. That being said, we also have a lot of noise between here and the 21 MXN level, so while I do think that we go higher at this point in time, I recognize that will probably be a bit of a grind. EURUSD Chart by TradingView The 19.75 MXN level is an area that I think would see a lot of support as well, and then after that we have the 50 Day EMA coming into the picture near the 19.50 MXN level. In other words, there are plenty of support levels between here and a trend change to keep this market alive. I am bullish of this pair, and will continue to be.
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