Should we wait and see where the euro is headed against the yen?

Should we wait and see where the euro is headed against the yen?

22.12.2022

The U.S. dollar traded in a tight range against the euro the previous day.The EUR/USD pair traded in a range between 1.0590 and 1.0645, continuing its directionless movement as it fluctuated around the 20-period moving average (MA) on the hourly chart. Technically, the 75-period MA on the 4-hour chart is acting as support for the EUR/USD, and the pair has been gradually raising its lows. On the higher timeframe daily chart, the uptrend—where the 10-period MA has been functioning as support—remains intact, so we will be watching closely to see if an upward trend emerges during European trading hours.

European currencies saw the German GfK Consumer Confidence Index for January, released yesterday, come in at -37.8, marking a third consecutive monthly increase; however, the euro continued to face resistance against the yen.The EUR/JPY pair traded within a range of approximately 110 pips between 139.639 and 140.774, but failed to break above the 23.6% Fibonacci retracement level and remains stagnant during today’s Asian session. However, since the hourly chart shows a slight upward trend in the lows, it will be worth watching whether the pair gains momentum during the European session.

Today, at 16:00 CET, the UK will release its Q3 GDP and Q3 current account balance; at 20:00, Turkey will announce its policy rate and statement; at 22:30 EST, the US will release initial jobless claims, Q3 GDP, and personal consumption;and the U.S. Core PCE Deflator at 24:00; the U.S. Leading Economic Index at 24:30; U.S. weekly natural gas inventories at 25:00; and the U.S. Kansas City Fed Manufacturing Activity Index at 25:00. We intend to carefully monitor the direction of the euro, which is currently weakening against the yen.

Past Market Reports

1. 21.04.2026New

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

2. 20.04.2026New

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

3. 17.04.2026New

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

4. 16.04.2026New

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

5. 15.04.2026New

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

6. 14.04.2026

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

7. 13.04.2026

   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. 10.04.2026

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

9. 09.04.2026

   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. 08.04.2026

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