Should We Be on Alert for Volatility Fluctuations While Markets in Japan, Canada, and the U.S. Are Closed?
10.10.2022
- Norway Consumer Price Index
- U.S. bond market closed
Last weekend, the U.S. dollar strengthened on the back of solid economic data. The GBP/USD pair fell by approximately 160 pips from 1.1222 to 1.1053.The pair fell below the 200-period SMA on the hourly chart. GBP/USD is testing lower levels again during today’s Asian session, with the 20-period MA on the hourly chart acting as resistance and pushing the pair lower. On the 4-hour chart, the pair entered a downtrend after touching the 200-period SMA, so we will monitor the situation carefully to see if the decline continues for the time being.
European currencies traded sideways against the yen, as Swiss employment data released last weekend on the 7th came in strong, while cross-yen pairs generally fell.Switzerland’s seasonally adjusted unemployment rate for September stood at 2.1%, maintaining a low level. The CHF/JPY is currently trading at 146.329, just below the 20-period moving average on the hourly chart. We will be watching closely to see if the franc’s support holds during European trading hours.
Today, at 15:00 Asia time, Norway’s Consumer Price Index and Producer Price Index will be released; at 16:00 Europe time, Hungary’s trade balance will be released;at 16:00 Turkey’s unemployment rate, at 17:30 the Eurozone Investor Sentiment Index, at 22:00 U.S. time remarks by U.S. Federal Reserve Bank of Chicago President Evans, and at 23:00 the U.S. Employment Trends Index.The bond market will be closed today during U.S. trading hours. We will be watching closely to see if any clear price movements emerge during U.S. trading hours.
