Ella 
Before the release of the Fed meeting minutes, the market fell into consolidation, with USD/MXN retreating to 17.35, it was difficult for the bulls to continue to gain the upper hand. The pair recorded its first loss in three days, while the previous day’s rally from the 200-hour moving average faded.
RSI holding above 50 also points to further gains for the pair.
Even so, the pair would have to break out of a week-ago descending resistance at 17.20 and find support from dovish Fed minutes to regain control.
Afterwards, the horizontal region from August 4 near 17.30 could challenge USD/MXN for further gains before heading towards the monthly peak around 17.42.
On the other hand, the 200-hour SMA and 50-hour SMA around 17.09-08 limit the pair’s short-term downside. A break below the 17.08 support line, where the uptrend line from July 28 and the 50% retracement of the pair’s uptrend between late July and early August converge around 17.00, appears to be a strong hurdle for bears.
