USD/MXN clinches fresh highs above 19.40

The Mexican Peso remains on the defensive today, now helping USD/MXN rto advance to fresh highs above 19.40.

USD/MXN weaker on Trump’s recovery, focus on FOMC

MXN met extra selling pressure after latest US election polls showed Republican candidate D.Trump leading the vote intention with 46% vs. Democrat candidate H.Clinton’s 45%, according to Washington Post-ABC Tracking Poll.

The pair is thus extending the rebound to fresh 5-week tops following the recent drop to the vicinity of the key 200-day sma around 18.40, as uncertainty around the US elections outcome continues to weigh on MXN sentiment.

Later in the session, USD will remain in centre stage in light of the ADP report and the FOMC meeting. Market consensus sees the US private sector creating 165k jobs during October, while the Committee is expected to deliver a somewhat dovish statement.

USD/MXN levels to watch

At the moment the pair is advancing 0.87% at 19.3714 facing the next hurdle at 19.9250 (all-time high Sep.26). On the downside, a breakdown of 18.9556 955-day sma) would expose 18.4400 (low Oct.20) and finally 1.3844 (200-day sma).