#USDMXN and #NASDAQ100 Monthly Forecast: March 2024

USD/MXN Monthly Forecast: March 2024

Sideways trend observed with potential 'double bottom' formation. Key support at 16.80 MXN, focus on Fed rate cuts.

• The US dollar has gone sideways against the Mexican peso during the bulk of the month of February, and therefore I think we need to pay close attention to this pair because it could be trying to give us a little bit of a “heads up” as to what it does next.
• When you look at the longer-term chart, the area just below is a major support area, and I think that comes into the picture as to whether or not we bounce or not.

Just underneath, we have the 16.80 MXN level, an area that has been very important, and therefore I think we will continue to test that and probe that for signs of support. That being said, we are also in the potential beginning phase of forming a massive “double bottom” on the weekly chart, which would be interesting considering that the Federal Reserve is expected to cut interest rates this year. If that’s the case, the idea is that most traders would prefer to own the Mexican peso, because the Bank of Mexico offer such a high interest rate payment. However, if we bounce from here in the Federal Reserve continues to look like they are going to cut, this could be a sign of something ominous.

While a lot of you may not necessarily trade this pair from a longer-term perspective, it is worth watching because it gives you an idea as to how the US economy may be performing. Paradoxically, the worse the US economy performs, the better the US dollar will do here due to the fact that a lot of people will be throwing money into safety assets such as US Treasuries instead of emerging market currencies like the Mexican peso.

The outlook

I’m not going to lie here, this is going to be a difficult pair to trade for the month of March, mainly because it is a thinly traded pair, and of course is traded during specific times of the day more than others as it has a lot to do with cross-border payments. Simply put, I will often use this pair as a gauge on what to do with not only the US dollar, but sometimes the US stock market. That being said, if we were to break down below the 16.80 MXN level, that would be a horrific sign for the US dollar, meaning that it will probably be losing strength against almost everything.

NASDAQ 100 Monthly Forecast: March 2024

The NASDAQ 100 has been resilient in February, with 16,950 as key support. Despite possible pullbacks, the uptrend persists, led by the "Magnificent 7". The outlook for March is primarily bullish, with sideways movements possible.

• The NASDAQ 100 has been very resilient during the month of February, as we continue to see a lot of upward pressure.
• Underneath, the market is likely to continue to see the 16,950 level as a major support level, I think that anytime we get close to that area, there should be plenty of buyers.
• The 20-Week EMA is testing that area right now, so I think that comes into the picture to perhaps send the NASDAQ 100 higher.

That being said, it’s very unlikely that the NASDAQ 100 is extraordinarily negative during the month of March, and I do think that it is probably only a matter of time before buyers come in and pick up bits of value every time you post back. Whether or not we are going to continue to see upward pressure is neither here nor there, because quite frankly it’s all about a handful of stocks. As long as we continue to see the “Magnificent 7” perform well, it’s likely that the NASDAQ 100 will continue to go higher. However, if they “Shoot the generals”, meaning that they take those 7 stocks down, the NASDAQ 100 will fall apart.

We are in an uptrend, and therefore it’s likely that you need to look at it through that prism. I don’t have any interest in trying to get too cute and shorting this market, despite the fact that a 10% drop would be about the best thing that could happen to keep the uptrend healthy. That being said, as long as we continue to have this mania in place, it makes quite a bit of sense that we either follow right along or sit on the sidelines.

NASDAQ 100 Outlook March 2024

The outlook for this market is rather straightforward and simple: it’s obvious that the NASDAQ 100 is very bullish, and I think that the month of March will more likely than not continue this. At the very least, I would anticipate that we continue to see a lot of sideways movement more than anything else, or perhaps an occasional pullback that we could take advantage of. In fact, I don’t have a situation where we start shorting unless of course we break down below the 50-Week EMA, which is closer to the 15,500 level, and even then I would have to see what was going on with the idea of interest rates. It remains bullish, and I just don’t see that changing.

To get ACCURATE LIVE ACCURATE 2-3 TRADES (Forex/Comex/Stocks) Telegram: Financial Advisor

BEST FOREX SIGNAL TELEGRAM GROUP
XAUUSD FOREX INDICES ACCOUNT MANAGEMENT

#SaudiArabia #UAE #Qatar #HongKong #Portugal #PortugueseGP #France #forex #commodities #forexSaudiarabia #forexYemen #forexasia #forexJordan #Singapore #UAE #UK #forexsignals