Market view: USD/CLP

The Chilean Peso (CLP) is the official currency of Chile. The symbol for the Peso is $

In our review, we are going to see the Current exchange rate US DOLLAR (USD) to CHILEAN PESO (CLP) including currency converter, (USDCLP) which on Friday reflected a doji candle, after coming in a fairly firm downtrend that was affirmed in the weakness of the dollar index as in the strength that is having copper. This doji candlestick is a sign of trend change and this situation is occurring for the instrument which yesterday began to turn upwards. For today we have the interest rate decision at 6:00 p.m. Chile time, which is at 11.25% and is expected to remain in that range for today. We are also seeing a rise in the dollar index as we mentioned before which can boost the currency.

ANALYST VIEW ON USDCLP

For this week we are seeing that the instrument could continue its upward path and that it is close to reaching the resistance of $900 pesos, that if we break this point we could see the instrument go looking for levels of $925, which we see as a first resistance If it breaks this point, it will most likely look for resistance at levels of approximately $957. However, there is strong bearish pressure that could stop the momentum in the $940 area. Today's data will be key to see if inflation in the country is slowing down or not. If the rate is maintained, it would give the impression of a solid currency within the region. As strong support, the levels of $875 continue to be key and if it is broken it could go looking for $850.

Technical note: The stochastic wants to break the bearish signal which could give an upward momentum.