USD/COLOMBIAN PESO

Emerging market currencies continue to lose ground against the strong U.S. dollar. Already weak South American currencies can enter the second stage of weakness after completing major multi-year base formations.

After completing a rounding bottom between 2009 and 2014, USD/COLOMBIAN PESO, broke above 2,000 levels and rallied towards 2,600-2,700 area. Critical long-term resistance could be the neckline of a decade long double bottom chart pattern. Breakout above this area could result in further weakness in Colombian Peso with a possible price target of 3,500-4,000.