USD/MXN recently reached the 200-day moving average (DMA) near 20.25/20.10 which is a crucial support zone. Economists at Société Générale expect the pair to rebound from here and head towards 21.00.

USD/MXN to extend its slide on removal of 20.25/20.10

“A short-term bounce is likely towards 21.00 and 21.35/21.44, the 61.8% retracement of the down move.”

“Only if 20.25/20.10 breaks will there be a risk for extended down move.”