MXNJPY: watching the 9.25 area closely
Been looking at $MXNJPY for a potential swing setup, and the 9.25 level is really sticking out on my charts. We've tapped it a few times in the last couple of weeks, and each time it's acted as pretty solid resistance, almost like a psychological lid. Today's high of 9.24 just reaffirms that for me. I'm not calling for a massive reversal, but if we get a convincing rejection from that zone again – maybe a daily close below 9.20 after poking above – it would certainly lean me towards a short-term bearish bias back down towards the 9.15s. The risk, naturally, is a strong candle close above 9.25, especially on decent volume. That would invalidate the setup for me pretty quickly, suggesting a new leg up is starting. It's funny how often these seemingly arbitrary numbers turn into battlegrounds.
Considering the current volatility, simply tapping a level a few times isn't enough to confirm it as solid resistance for a swing trade. You need to see actual price action rejecting it definitively, not just hovering near it. What's your contingent plan if it breaks through?