EURMXN
Source
The EURMXN currency pair recently broke out of the bearish channel on the weekly chart. Just last week, the pair retested the broken channel, causing the price to surge to an October high.
Upon closer inspection of the 4-hour chart, we observe that the EURMXN bulls encountered a formidable barrier around the 19.4 resistance level. This has temporarily halted the rising momentum. The Relative Strength Index (RSI) and the Stochastic Oscillator are both in the overbought area, mirroring the signals from the Bollinger Bands.
Given these technical indicators pointing to an overbought market, it is plausible that the EURMXN will experience sideways movement in the upcoming session before making another attempt to break through the 19.4 resistance. A close above this level would pave the way for the bulls to reach the 19.6 resistance level.