Is a rebound in the U.S. dollar likely?

Is a rebound in the U.S. dollar likely?

22.11.2021

Last weekend, two of the three major U.S. stock indices fell, creating a risk-off sentiment characterized by falling stock prices, lower interest rates, and cheaper crude oil. The VIX (fear index) rose by about 1.8% to around 17.9. Canada’s September retail sales figures, released last Friday, came in at -0.2%, outperforming the forecast of -1.0% and avoiding the sharp decline the market had anticipated.

The foreign exchange market opened calmly, with no notable gaps. Although the Dollar Index remains at a high level of 96.0, the US dollar faces resistance at higher levels, and the EUR/USD pair remains near its recent lows after a slight rebound. The EUR/USD is currently trading around 1.126 and remains below the 20-period moving average on the 4-hour chart, so it remains to be seen whether the downtrend will continue.

Today, the Turkish Consumer Confidence Index is scheduled for 4:00 PM, the U.S. Chicago Fed National Activity Index for 10:30 PM, U.S. Existing Home Sales for midnight, the U.S. 2-year Treasury auction for 1:30 AM, and the U.S. 5-year Treasury auction for 3:00 AM.This week, the US Manufacturing and Services PMI is scheduled for Tuesday, the 23rd; the RBNZ policy rate and statement for New Zealand, along with the release of the FOMC minutes for November, are scheduled for Wednesday, the 24th; the ECB Governing Council minutes for October are scheduled for Thursday, the 25th; and remarks by ECB President Lagarde are scheduled for Friday, the 26th.We will be closely monitoring which direction price movements take in the first half of the week.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed