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USD/MXN tests resistance as momentum turns positive – Société Générale

USD/MXN has rebounded from its 18.20 low but continues to face resistance at the 50-DMA. A break above 18.65 is needed to confirm an extended recovery, while failure to clear it could invite renewed downside pressure, Société Générale's FX analysts note.

USD/MXN bounce faces key hurdle at 18.65

"USD/MXN has staged a bounce after carving out an interim low near 18.20 last month. It is still struggling to overcome the 50-DMA. Daily MACD has been posting positive divergence highlighting receding downward momentum."

"However, a break beyond recent pivot high of 18.65 will be crucial for confirming an extended bounce. Inability to cross 18.65 may denote a risk of one more leg of decline."

China: Deflation eased but price pressure remained subdued in September – UOB Group

China’s Consumer Price Index (CPI) deflation eased, coming in at -0.3% y/y in September, an improvement from August (-0.4%) (versus Bloomberg est: -0.2%). This was the second straight month of negative reading.
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AUD/JPY treads water above 98.50 due to cautious tone surrounding RBA policy stance

AUD/JPY edges higher after registering nearly 0.75% losses in the previous session, trading around 98.60 during the European hours on Wednesday.
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