• 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
