• USD/MXN initially dipped but recovered ground as investors monitored trade negotiations ahead of the August 1 deadline for U.S. tariffs.
• Despite limited progress on finalized agreements, ongoing discussions between the U.S. and several major trading partners reflect efforts to avoid the steep tariffs threatened by the Trump administration..
• With just over a week until the August 1 deadline, U.S. Treasury Secretary Scott Bessent said on Monday that the administration prioritizes the quality of trade agreements over meeting the timeline.
• Bessent’s remarks come amid growing global concern over the potential economic fallout from U.S. tariffs should negotiations with major trading partners fail to produce results. .
•At GMT 20:21,the dollar was down 0.16 % at 18.630 against Mexican peso.
• Immediate resistance is located at 18.716(SMA 20), any close above will push the pair towards 18.959(50%fib).
• Support is seen at 18.560 (23.6%fib) and break below could take the pair towards 18.495(Lower BB).
Recommendation: Good to buy around 18.600 with stop loss of 18.250 and target price of 19.000
