USD/MXN firm above 23.00, at the highest level in a month

• Mexican peso remains under pressure versus the US dollar despite higher equity prices in Wall Street.
• USD/MXN heads for highest daily close since May 25.

The USD/MXN is rising for the second day in a row, holding firm above 23.00. The pair reached at 23.19, the highest level in a month.  Over the last hours it has been hovering around 23.10, consolidating modest daily gains.

The greenback posted mixed results across the board. Not even emerging market currencies showed a clear direction on Monday, unable to benefit from a rebound in equity prices. Still risk aversion is expected to play a key role in USD/MXN.

USD/MXN bullish outlook

The upsides bias in USD/MXN remains intact. It is testing the 55-day moving average and a horizontal resistance around 23.15/20. Above, the next level target might be seen at 23.50/55.

The bullish outlook in USD/MXN would be negated with a decline under 22.30, the 20-day moving average, a horizontal support and also the area of an uptrend line. A slide under 22.30 could suggest an interim top has been established. Before the mentioned level, support might be seen at 22.90 and 22.60.