Technical analysis: Mexican Peso gathers steam as USD/MXN plunges below 17.00

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From a technical standpoint, the USD/MXN continues to trend lower with sellers gathering momentum as shown by the Relative Strength Index (RSI). The RSI shifted bearish, justifying the recent strength of the Mexican currency, but there’s some key levels to breach before the pair extends to new yearly lows.

If USD/MXN tumbles below the 50-day Simple Moving Average (SMA) at 16.81, that could pave the way to challenge the 2023 low of 16.62, followed by the current year-to-date (YTD) low of 16.25


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