Should we keep a close eye on the pound’s upward trend following the key event?

Should we keep a close eye on the pound’s upward trend following the key event?

20.06.2022

In the U.S. currency markets last weekend, the Dollar Index rose to 105 during U.S. trading hours, making the U.S. dollar the strongest currency. The EUR/USD pair fell by approximately 110 pips from 1.056 to 1.044. However, looking at the 4-hour chart, the pair appears to be forming a double bottom with 1.0349 as the bottom line; therefore, we should exercise caution in determining whether last weekend’s decline will continue.

Among European currencies, the pound has been strengthening against the Australian dollar following last Thursday’s policy rate announcement, which saw the rate raised to 1.25%; the GBP/AUD pair rose by approximately 160 pips from 1.749 to 1.765.Since GBP/AUD has been forming higher lows with 1.727 as its bottom on the daily chart, we will be watching to see if it can break above the 1.765 level—which is the recent high on the 4-hour chart and below the daily 75-day moving average—with a solid candle.

Today’s schedule includes Germany’s Producer Price Index at 15:00 (Asia time), Turkey’s foreign visitor arrivals and remarks by UK MPC member Haskell at 17:00 (Europe time), remarks by ECB President Lagarde and UK MPC member Mann at 22:00 (U.S. time), Turkey’s central government debt at 23:30, and U.S. Federal Reserve Governor Brainard at 25:45:St. Louis Fed President, at 02:00, and remarks by German Bundesbank President Nagel at 02:00. After these key events, we will be watching closely to see if the pound maintains its upward momentum.

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?