• USD/MXN eased on Tuesday as investors assessed the likelihood and severity of potential U.S. tariffs ahead of a key deadline next week.
• Mexico and Canada are stepping up efforts on border security and fentanyl control this week to avoid 25% tariffs on exports to the U.S., with the March 4 deadline approaching.
• Trump did not directly reference the March 4 deadline, but expressed a desire for reciprocal tariffs to align duty rates and counteract trade barriers from countries, including France.
• At GMT 15:41, The greenback was last trading down 0.21% to 20.429 against Peso.
• Immediate resistance is located at 20.527 (Daily high), any close above will push the pair towards 20.687(38.2%fib).
• Support is seen at 20.241(50%fib) and break below could take the pair towards 20.149(Lower BB)
Recommendation: Good to buy around 20.400 with stop loss of 20.250 and target price of 20650
