Should investors be wary of the U.S. dollar’s recent reversal from its previous strength?

Should investors be wary of the U.S. dollar’s recent reversal from its previous strength?

29.04.2022

In the previous session, the U.S. dollar showed slight strength against the euro, with the EUR/USD pair falling by about 90 pips from 1.056 to 1.047. However, during today’s Asian session, the dollar’s momentum has stalled, and it is trading lower against both the euro and the Australian dollar. Since the EUR/USD pair has broken above the 20-period moving average on the hourly chart, we will be watching to see if it can close above the recent high of 1.056.

Among European currencies, the pound fell to a new low for the year against the U.S. dollar, dropping to 1.241. However, as the price had deviated significantly from the 20-day moving average on the daily chart, it rebounded during today’s Asian trading session, rising to 1.251. We will be watching closely to see if this rebound continues and whether it breaks above the recent high of 1.257.

Today, at 3:45 PM, France’s Consumer Price Index and Producer Price Index will be released; at 4:00 PM, Switzerland’s KOF Leading Index and Turkey’s trade balance;at 5:00 PM, Germany’s Q1 GDP and remarks by SNB Governor Jordan of Switzerland; at 6:00 PM, the Eurozone’s Q1 GDP and CPI; at 9:30 PM, Canada’s GDP, U.S. personal income, and the U.S. core PCE deflator; and at 11:00 PM, the University of Michigan Consumer Sentiment Index.I plan to keep a close eye on the indicators released during U.S. trading hours and observe price movements on this final day of the month.

Past Market Reports

1. 22.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 20.04.2026New

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

4. 17.04.2026New

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

5. 16.04.2026New

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

6. 15.04.2026

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

7. 14.04.2026

   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

8. 13.04.2026

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

9. 10.04.2026

   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?

10. 09.04.2026

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