USDMXN is very interesting at the moment. We are seeing the price coming to the lower range of the weekly symmetrical triangle. Along with that, fundamentally and seasonally, the US Dollar gets its bid from the third week of April until the end of May and bond yields show the first sign of it.
The "So-called Inverted yield" fears have seen to be dissipated for now and 10Y yield has risen in the past couple of days by few basis points. The main beneficiary of this is USDJPY. However, in any scenario, Ninja is bought first and then all USD pairs follow. As a result, seasonality + timing + technicals are all blended together and have been put here. Therefore, Long USDMXN is a highly favored and carry trade because the risk is very low and the reward is quite decent. MInimum RR is 5:1
The "So-called Inverted yield" fears have seen to be dissipated for now and 10Y yield has risen in the past couple of days by few basis points. The main beneficiary of this is USDJPY. However, in any scenario, Ninja is bought first and then all USD pairs follow. As a result, seasonality + timing + technicals are all blended together and have been put here. Therefore, Long USDMXN is a highly favored and carry trade because the risk is very low and the reward is quite decent. MInimum RR is 5:1