(MENAFN- Daily Forex) The USD/MXN is once again within the lower elements of its long-term price range. After a move higher in early November and periodic strong reversals the past few weeks, the current price of the currency pair is near the 18.26400 level.

The USD/MXN is bouncing up against important long-term and short-term support levels in early trading this morning. A rather strong dose of fluctuations depending on the bids and asks is being seen, this as the currency pair waits for full volumes to develop in the coming hours. The price of the USD/MXN as of this morning is around 18.26400.

After moving higher in early November and then battling financial institutions nervousness which was demonstrated in the global Forex arena, the USD/MXN has done a solid job of showing a rather solid determination to move back to important lower realms recently. The 18.25000 vicinity has proven as a rather magnetic support ratio (with the occasional outlier) which has then caused turbulence and slight moves higher since September of this year.

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The ability of the USD/MXN to once again traverse near important support has been seen since Monday of this week. The 18.25500 mark was penetrated on mid-Monday and then the USD/MXN did incrementally move higher. However, the currency pair has not escaped the lower clutches of its price realm.

Day traders may be tempted to buy the USD/MXN within these support levels and look for some upside price action, but that could prove dangerous and costly. Financial institutions do appear to be showing a signs of believing the currency pair can move lower, but they also seem to be waiting on additional impetus before they commit to stronger selling inputs. And these financial institutions seem to be waiting on the U.S Federal Reserve on the 10th of December on Current Lower Trend and Risk Management

The USD/MXN does offer traders a wide spread when volumes are not full. Only when the financial markets of North America open and Mexican financial institutions are involved completely does bid and ask price action become tighter.

• Day traders looking for the lower trend to emerge in a constant motion may not find this capability unless the Federal Reserve lowers its interest rate next week.
• Until the Fed's FOMC decision on the 10th of December, it is likely choppy values will churn near current levels testing the fortitude of speculators and the mid-term outlook of financial institutions until there is proof of a clear Fed outlook.
• Choppy conditions will likely persists until the middle of next week and it can be assumed that risk management will be very important over the coming days as sentiment gets tested.

EURUSD Chart by TradingViewUSD/MXN Short Term Outlook:

Current Resistance: 18.26750

Current Support: 18.26190

High Target: 18.29150

Low Target: 18.25300

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