Societe Generale analysts, including Kenneth Broux, say downward momentum has returned to the Mexican Peso after USD/MXN broke above a multi-month descending trend line and reclaimed its 200-day moving average for the first time since April 2025. The move marks the pair's first close back above that long-term average in roughly a year, reversing the trend that had capped the dollar against the peso for months. According to the analysts, the break of the descending trend line signals that the prior peso-supportive momentum has faded. Reclaiming the 200-day moving average is the technical confirmation Societe Generale points to for renewed downside risk in the Mexican currency.
Societe Generale S.A.Societe Generale flags renewed Mexican Peso downside as USD/MXN breaks above its 200-day moving average, signaling fading peso-supportive momentum.
