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FxWirePro: USD/MXN positions for another climb, eyes 21.000 level

 

• USD/MXN strengthened on Tuesday  as Mexico's peso weakened after U.S. President Donald Trump   threatened tariffs against Mexico and Canada.

• Trump delayed imposing tariffs but hinted at 25% duties on imports from Canada and Mexico starting Feb. 1 over illegal immigration and fentanyl concerns.

• Trump signed an order declaring a national emergency at the U.S.-Mexico border, unlocking funding and enabling him to deploy troops there.

• At GMT 14:58, the pair was trading up 1.17% at 20.731.

•  Immediate resistance is located at 20.885 (23.6%fib), any close above will push the pair towards 21.035(Higher BB).

• Support is seen at 20.634(38.2%fib) and break below could take the pair towards 20.452(50%fib).

Recommendation: Good to buy  around 20.650 with stop loss of 20.450 and target price of 21.000

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