As you can see the USD/COP pair has never been this high before, also is shown that the RSI shows a divergence, which could mean this pair could drop anytime soon.
Also the economy is rising in Colombia, so in the next few years the Colombian peso could be much more valueable than it is now.
The inverse correlaion between oil and the dollar remains , therefore fell last week nearly 140 pesos.
With falls on Thursday and Friday a pattern of bearish candles known as "Techo en Pinzas" was formed. This move leaves the 3,320 as a resistance .
While the dollar does not close above 3,320 , there is a likelihood of a correction towards 3,120 or 3,060 ;...
THE COLOMBIAN PESO HAS BEEN IN THE 2600S ZONE 3 TIMES IN THE LAST 12 YEARS, AND IT HAS NEVER CLOSED ABOVE 2700. WE NEED TO SEE A BOUNCE IN THE PRICE OF OIL, OR AT LEAST SEE IT HANDLE THE 57-60 LEVEL AND EXPECT THE PESO GO TOWARDS ZONES OF 2200 FOR NOW. MAYBE THE POLICY MAKER OF THE COLOMBIA FINDS OUT WHAT IS OBVIUS AND LET THE PESO GET STRONGER AGAINST THE DOLAR....
