MXN/JPY fell to around ¥8.307, and a break below ¥8.30 could bring the pair toward around ¥8.14, with ¥8.00 potentially coming into view thereafter. For existing positions, a recovery to ¥8.45–¥8.479 on a rebound is considered important, while those considering new purchases have been advised to assess whether the pair can recover and hold this level.
MXN/JPY has approached its recent low of ¥8.307, and the daily downtrend continues. The initial level to confirm a bottom will be whether the pair can hold around ¥8.30. If it breaks below ¥8.30, around ¥8.14 will be the next level in focus, with ¥8.00 also coming into view as a psychological threshold.
For investors holding long positions, the key point will be whether the pair can break above and hold the rebound level of ¥8.45–¥8.479. If it closes above this level on a daily basis and holds it on pullbacks, expectations for a recovery into the ¥8.50 range could increase. Conversely, if the rebound loses momentum below this level, concern over another downside break will intensify.
Those considering buying should confirm that the decline has stopped making new lows and that the pair does not break below its previous low on a renewed pullback after a rebound. It is advisable to wait for a signal that ¥8.45–¥8.479 has been recovered and held, rather than increasing the position size in haste, leaving room to assess price movements.
The article also referred to reports concerning a PHP vulnerability, noting that in addition to stock-market volatility, yen-buying pressure could act as a downside factor for MXN/JPY.