10 Mar 2015
Further downside expected in COP – TDS
FXStreet (Edinburgh) - In the opinion of strategists at TD Securities, the Colombian peso could depreciate further throughout the year.
Key Quotes
“We recognize that USDMXN volatility makes it very difficult to be outright long MXN, even at current entry levels. We think being long MXN is clearly an easier decision for EUR based clients”.
“We continue to like MXNCOP as a pair to trade tactically, looking for attractive entry levels when MXN overshoots, or when oil rallies and brings COP with it”.
“We think COP will continue to weaken throughout the year, and expect USDCOP to reach 2650 by the end of the year. But for those USD based investors with a 1-2 year time horizon, and the ability to stomach some volatility, we think it’s worth giving MXN another look”.
Key Quotes
“We recognize that USDMXN volatility makes it very difficult to be outright long MXN, even at current entry levels. We think being long MXN is clearly an easier decision for EUR based clients”.
“We continue to like MXNCOP as a pair to trade tactically, looking for attractive entry levels when MXN overshoots, or when oil rallies and brings COP with it”.
“We think COP will continue to weaken throughout the year, and expect USDCOP to reach 2650 by the end of the year. But for those USD based investors with a 1-2 year time horizon, and the ability to stomach some volatility, we think it’s worth giving MXN another look”.