All eyes are on whether currency strength will shift significantly on the final day of the weekend
11.11.2022
- University of Michigan Consumer Sentiment Index
- UK Trade Balance
In the U.S. currency market yesterday, the dollar plummeted after the U.S. CPI came in at 7.7% year-over-year, missing market expectations. The EUR/USD pair rose by approximately 280 pips from 0.9935 to 1.0221. It hit a new high for the month and broke well above the 20-day moving average on the daily chart.Since the EUR/USD pair has risen above its recent high on the daily chart as well, we will be watching closely to see if the euro’s strength continues on the final day of the week.
Among European currencies, the pound emerged as the strongest, with GBP/USD rising 370 pips from 1.1362 to 1.1731. Following yesterday’s rally, GBP/USD broke above the 75-day moving average (MA) on the daily chart with a solid candle, confirming the continuation of the uptrend. It will be interesting to see if the upward trend persists, albeit with some consolidation along the way.
Today, at 4:00 PM, UK Q3 GDP, UK industrial production, UK manufacturing output, UK goods trade balance, UK trade balance, German CPI, Turkish industrial production, and Turkish current account balance will be released.at 8:00 PM, remarks by UK MPC member Haskell; at 9:45 PM, remarks by SNB Governor Jordan of Switzerland; at 10:10 PM, remarks by UK MPC member Tenreiro; at midnight, the University of Michigan Consumer Sentiment Index; and at 2:30 AM, remarks by German Bundesbank President Nagel.I want to carefully assess the direction of the market to see if there will be significant shifts in currency strength on this final day of the weekend.
Author: Keisuke Sakurai
