USDMXN WEEKLY CHART
The Blue Trendline has been holding since July 2013. The Black horizontal line if you zoom out you will see has acted as resistance many times before. Technically its a good setup. However due to the USD Bull run, we are skeptical about this trade. We think this trendline should be easily broken. Ideally we would like to see the trendline being broken, then price comes back down to retest the broken resistance and we will be happy to go long. Also notice a few things, the trend is generally an uptrend and we are above both the 50 & the 200SMA. So both medium and long term trends are higher. Alternatively it could play out as nice counter trend trade. Keep in mind counter trend trades can be highly rewarding but also highly risky.