FxWirePro: USD/MXN rallies to 1-week high, good to buy on dips

• USD/MXN hit one week high  on Thursday after data showed a stronger than expected rise in U.S. producer prices cooled near‑certain bets on a Federal Reserve rate cut next month.

•The U.S. Labor Department reported that producer prices rose 0.9% in July, well above the consensus forecast of a 0.2% increase.

• Traders quickly scrapped budding bets on a half‑point Fed cut next month, but still pencil in a quarter‑point move, with odds at 94%, down from about 99%, according to CME's FedWatch tool.

• On the geopolitical front, U.S. President Donald Trump and Russian President Vladimir Putin are set to meet in Alaska on Friday to explore possible measures to resolve the ongoing conflict in Ukraine

• At GMT 18:20,the dollar   was up 1.10 % at 18.826 against Mexican peso.

•  Immediate resistance is located at 18.967 (38.2%fib), any close above will push the pair towards 18.326(50%fib).

• Support is seen at 18.519(23.6%fib) and break below could take the pair towards 18.409(Lower BB).

Recommendation: Good to buy around 18.700 with stop loss of 18.400 and target price of 19.100