Late Friday, President Donald Trump tweeted that he had suspended plans to impose tariffs on Mexico after reaching a deal with that country over stemming the flow of illegal immigration. But he warned Mexico in a series of tweets on Sunday that if cooperation should fail, “we can always go back to our previous, very profitable, position of tariffs.”
The Mexican peso surged on Monday, benefiting from news the U.S. won’t impose trade tariffs after a deal was reached between the two nations.
Mexico’s peso USDMXN, +0.0083% jumped 2.2% against the dollar. The buck was buying 19.198 pesos, compared with 19.624 pesos late in North American trade Friday. The peso tapped session highs not seen since late 2018.
When I look at the monthly chart, this is the first thing that stands out at me…a long term breakout is coming
If price does break to the downside, there is a fair amount of room before price hits any major buyers.
Price recently hit the daily supply at 19.90000, so a break of the wedge could see price fall to the daily demand at 17.90000 as a first target.
This post is my personal opinion. I’m not a financial advisor, this isn’t financial advise. Do your own research before making investment decisions.