USDMXN has gradually pulled back towards the lower band of the range at 19.41. A break below hre would clear the way towards 2020 lows near 18.60/18.50, economists at Société Générale report.

An initial rebound is not ruled out

“An initial rebound is not ruled out, however, failure to cross October peak at 20.18 would denote risk of a potential breakdown.” 

“In case the pair establishes itself below 19.41, next leg of down move could materialize towards projections of 19.28 and 19.00 with possibility to revisit 2020 lows near 18.60/18.50.”