Will the U.S. dollar, which has been rising slightly, continue its upward trend, or should we wait and see?
07.12.2022
- Housing Prices in Halifax, UK
- U.S. MBA Mortgage Applications Index
In yesterday's U.S. currency trading, the Dollar Index rose slightly to 105.5, while GBP/USD fell by approximately 140 pips from 1.2226 to 1.2127.During today’s Asian session, the pair is trading around 1.2139, seeking direction with support from the 200-period SMA on the hourly chart. However, on the daily chart, the uptrend continues with support from the 10-period MA, and since the price has broken above the 200-period SMA with a real body, we will be watching to see if the rally continues.
European currencies fell against the U.S. dollar despite the fact that Germany’s new manufacturing orders for October, released yesterday, rose 0.8% month-on-month, exceeding the market forecast of 0.2%.The EUR/USD pair fell by approximately 70 pips from 1.0531 to 1.0458. On the daily chart, the pair has been in a pullback phase since breaking above the 200-day SMA. However, on the weekly chart, the RSI has not yet reached 70 and the reversal trend continues, so we will be watching closely to see if an uptrend follows this pullback.
Today, the Swiss unemployment rate is scheduled for 3:45 PM Asia time, followed by the UK Halifax house price index and German industrial production at 4:00 PM Europe time, the French trade balance and current account balance at 4:45 PM, and the Eurozone Q3 GDP (final reading) at 7:00 PM.at 21:00, the U.S. MBA Mortgage Applications Index; at 22:30 U.S. time, U.S. Q3 Nonfarm Productivity; at 24:00, the Bank of Canada’s policy rate and statement; at 24:30, U.S. weekly crude oil inventories; and at 29:00, U.S. consumer credit balances. We will watch the situation carefully to see if the U.S. dollar, which has been rising slightly, will continue its upward trend.
Author: Keisuke Sakurai
