Mexican Peso Begins New Period Of Depreciation Against US Dollar

www.investing.com/analysis/mexican-peso-begins-new-period-of-depreciation-against-us-dollar-199934

By Peter Brandt | Jan 24, 2014 07:33AM ET

This article has already been saved in your Saved Items

Peso should reach 15.0 within next year and 17.0 within next several years.

Note: I am a chartist. I do not take into account macro economic forces. I do not watch Bloomberg or read the WSJ or Barrons. I do not read much published research. I especially do not watch #CNBC. People who rely on CBNC for their business news are extremely hard up for objective thinking. CNBC is a comedy entertainment and should not be taken as serious by serious market participants. CNBC is basically a “news” network where reporters take themselves as serious market commentators. This is what makes CNBC so funny.

The longest term chart shows that the Peso has been in an historical trend of depreciation against the USD. The charts below shows the exchange rate — the number of Pesos required to purchase one USD. When I started trading the Peso at the IMM in the 1970s, the Peso was at a premium to the USD.

Chart 1

The Peso is coiling within a 5-year symmetrical triangle on the monthly chart. The key challenge within this triangle will be the 14.50 to 15.00 level. A clearance of this level will indicate that much greater depreciation of the Peso against the USD would occur — very possibly a move to 17.0 to 18.0. The last period of substantial depreciation was in late 2008. I am looking for a similar move within the next year or two.

Chart 2

The daily chart shows that the jump today has resolved a 7-month trading range. If today’s move in the USDMXN holds (a big if — it is 03:15 Mountain US time), it will prove to be the blast off in the next phase of Peso depreciation.

Chart 3

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

S&P 500: The Buyable Pullback Continues By Dr. Arnout ter Schure - Sep 28, 2021 9

Over the past two months, I used the Elliott Wave Principle (EWP) to forecast the S&P 500 (SPX) would reach SPX4550-4600 before a 200-300p correction should start. Two weeks...

Debt Ceiling Fight Is Center Stage, Not Data By Kathy Lien - Sep 28, 2021 13

Investors kicked off the week with renewed demand for US assets. The Dow Jones Industrial Average rallied for the fifth straight trading day while the US dollar strengthened versus...

Market Futures Drop, Yields Spike, Over Debt Default Worries By Michael Lebowitz - Sep 28, 2021

This morning market futures are lower, and yields spiking, after Republicans blocked the Democrats attempt to suspend the debt ceiling until after the mid-term elections. While the...

Add a Comment

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:

Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

I have read Investing.com's comments guidelines and agree to the terms described.

I Agree

Write your thoughts here

Are you sure you want to delete this chart?

Delete Cancel

Post

Post also to:

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.

<div id="comment">
				<div class="comment js-comment" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
    <div class="mainComment js-content">
       <div class="commentInnerWrapper">
        <a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody">
                					<span class="commentUsername">
                    	<a href="{userLink}" class="js-user-link js-user-name">{username}</a>
					</span>
                                <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
                <div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

<div class="js-option addRow follow">
            <div class="js-follow-post-button">
                <span class="alertfollowIcon middle"></span>Follow this post            </div>
            <div class="js-unfollow-post-button displayNoneImp">
                <span class="alertUnfollowIcon middle"></span>Unfollow this post            </div>
        </div>

<div class="addRow js-option save">
		<a href="javascript:void(0);" class="js-save-item-btn" data-item-type="comments" data-item-id="{commentID}">
			<i class="saveItemBigIcon middle"></i>
			Save		</a>
	</div>
	<div class="addRow saveItemsConfirmation noHover displayNone js-saveItemResult">
		
<div class="content js-saveItemSuccess displayNone">
	<span class="mediumGreenSuccessIcon"></span><span>Saved. See <a href="/members-admin/saved-items" target="_blank">Saved Items</a>.</span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
<div class="content js-saveItemAlreadySaved saveItemAlreadySaved displayNoneImp">
	<span>This comment has already been saved in your <a href="/members-admin/saved-items" target="_blank">Saved Items</a></span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
	</div>

<div class="addRow shareButtons js-sharePopup displayNone">
			<div class="js-shareComment"><span class="js-shareCommentSpan"></span></div>
		</div>
	</div>
</div>
                 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div>             </div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="commentBigChart js-comment-chart" onclick="openViewChartPopup('{commentID}')">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

<div class="reportComment js-flag float_lang_base_2">
						<a href="javascript:void(0);" id="commentFlag_{commentID}">
							<span class="reportCommentIcon middle"></span><span class="inlineblock middle">Report</span>
						</a>
					</div>
				</div>
					</div>
	   </div>
	</div>
	</div>			</div>
			<div id="reply">
				
    <div class="commentReply js-comment js-comment-reply" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
		<div class="commentInnerWrapper"><a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody js-content">
            				<span class="commentUsername">
					<a href="{userLink}" class="commentUsername js-user-link js-user-name" onMouseOver="">{username}</a>
				</span>
                        <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
			 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div> 			<div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

</div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="replyBigChart displayNone js-comment-chart">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
				<span id="commentSmallChart{commentID}" class="commentSmallChart pointer js-comment-chart" onclick="openViewChartPopup('{commentID}')">
                    <img src="https://d1-invdn-com.investing.com/comments_images/{commentImageSmall}" width="116" height="52" alt="{commentAlt}">
                    <span class="chartMagnifyOverlay displayNone"></span>
                    <span class="searchGlassIcon chartMagnify displayNone"></span>
                </span>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

Are you sure you want to delete this chart?

Delete Cancel

Post

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

I feel that this comment is:

Spam

Offensive

Thank You!

Your report has been sent to our moderators for review

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Central Banks

Interest Rates

Next Meeting

FED

0.00%-0.25%

Nov 03, 2021

ECB

0.00%

Oct 28, 2021

BOE

0.10%

Nov 04, 2021

SNB

-0.75%

Dec 16, 2021

RBA

0.10%

Oct 05, 2021

BOC

0.25%

Oct 27, 2021

RBNZ

0.25%

Oct 06, 2021

BOJ

-0.10%

Oct 28, 2021

CBR

6.75%

Oct 25, 2021

RBI

4.00%

Oct 08, 2021

PBOC

3.85%

BCB

6.25%

Oct 26, 2021

US 30	34,377.0	+77.0	+0.22%
US 500	4,361.0	+8.4	+0.19%
Dow Jones	34,299.99	-569.38	-1.63%
S&P 500	4,352.63	-90.48	-2.04%
Nasdaq	14,546.7	-423.3	-2.83%
S&P 500 VIX	23.25	+4.49	+23.93%
Dollar Index	93.743	+0.362	+0.39%

Crude Oil WTI	74.39	+0.05	+0.07%
Brent Oil	77.45	0.00	0.00%
Natural Gas	5.860	+0.019	+0.33%
Gold	1,734.20	+0.30	+0.02%
Silver	22.477	+0.012	+0.05%
Copper	4.2473	+0.0003	+0.01%
US Soybeans	1,276.00	+0.12	+0.01%

SPDR S&P 500	433.72	-8.92	-2.02%
iShares Russell 2000	221.29	-5.15	-2.27%
Invesco QQQ Trust	359.87	-10.48	-2.83%
Direxion Daily Junior Gold Miners Bull 2X Shares	53.75	-0.84	-1.54%
iShares Silver	20.78	-0.16	-0.76%
ProShares Ultra VIX Short-Term Futures	23.93	+3.19	+15.38%
ProShares UltraPro QQQ	126.83	-11.54	-8.34%

Apple	141.91	-3.46	-2.38%
Alphabet A	2,716.6	-104.8	-3.72%
Tesla	777.56	-13.80	-1.74%
Amazon.com	3,315.96	-89.84	-2.64%
Netflix	583.85	-8.79	-1.48%
Facebook	340.65	-12.93	-3.66%
Bank of America	43.16	-0.10	-0.23%

Mexican Peso Begins New Period Of Depreciation Against US Dollar

Related Articles