THE MEXICAN PESO HAS APPRECIATED VS USD BY 15 % WITHIN 2.5 MONTHS

USD/MXNBack to pre-Trump

Victory levels

On following slides, examples on how I made my clients aware of first a buy signal during the rally post Trump and then about the fact a toppish pattern had been made

Nov4th: the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Dec22nd : the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Feb1st : the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Feb7th : the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Feb20th : the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Mar16th : the resistances are mentioned in red, the supports in green and the price at the time of writing in black.

Summary of the whole story

The goal of this presentation was to show :

- how a support level (supposed to contain a fall) or a resistance level (supposed to cap a rally) exchange its role once broken

- that this works even when events as rare as a US-presidential-election take place and even for such a sensitive currency pair as USD/MXN

- that you don’t need to stare at a screen to profit from moves and that 6 comments within 4 months can help capture a nice part of that move

- that even if I cannot tell the future, the support and resistance levels I provide are reliable: either they hold, or they break but give the signal to go in the direction of the breakout

- that human behaviour/emotions, not fundamentals, move the market- last but not least: once again, how a simple observation of candlesticks can warn against major reversals.