The MXN and USD have been eagerly awaiting significant economic data and remarks from policymakers, anticipating a potential major shift in direction. Despite the release of April’s Retail Sales figures for Mexico, which had little impact on the pair, focus continues to be on the expected trajectory of the USD and the progress of President Trump’s proposed new “one big beautiful bill.” The recent Mexican Retail Sales data, which surpassed expectations, was overshadowed by developments in the US, emphasizing the importance of the Greenback in the current economic climate. Investors are closely monitoring the outlook for the USD as they await further comments from the Fed and the highly anticipated House of Representatives vote on the proposed tax legislation. This bill could have a significant impact on the fiscal policy outlook and investor sentiment towards the USD in the short and long term. After hitting its lowest level since October, the USD/MXN has rebounded, breaking through previous support at 19.30 which has now become resistance. Presently, prices have risen above the previous downward trendline from April, providing support at 19.28. The Relative Strength Index has also recovered but still indicates bearish momentum. With the bearish trend still intact, the next key support level is at the round number of 19.20. Alternatively, if the USD strengthens and prices rise above the downward trendline, there may be a retest of the April low at 19.47 with the possibility of the 20-day Simple Moving Average coming into play at 19.53.