Will the market take a wait-and-see approach to the U.S. dollar’s movements at the start of the week?

Will the market take a wait-and-see approach to the U.S. dollar’s movements at the start of the week?

16.01.2023

Last weekend, the U.S. dollar strengthened against the Canadian dollar, with USD/CAD rebounding by approximately 120 pips from 1.3320 to 1.3438.USD/CAD had been in a downtrend on the 4-hour chart since January 3, but last weekend’s rebound pushed the pair above the 20-period moving average. However, as the US dollar has once again become the weakest currency during today’s Asian session, we should remain cautious about downside potential for USD/CAD.

European currencies saw the euro fluctuate against the U.S. dollar, with the EUR/USD pair trading in a range between 1.0779 and 1.0867. However, in Asian trading at the start of the week, the euro has been gaining ground against the U.S. dollar, hitting a new high for the year. The EUR/USD is currently trading around 1.0868, and given its strong upward momentum, we will be closely monitoring the euro’s price movements as we move into European trading hours.

Today, Japan’s machine tool orders will be released at 3:00 PM Asia time, Norway’s trade balance at 4:00 PM Europe time,at 4:45 PM for France’s fiscal balance, at 8:00 PM for the Eurozone’s total reserve assets, at 10:00 PM for the Philippines’ Consumer Price Index, at 10:30 PM (U.S. time) for Canada’s manufacturing shipments, at 11:00 PM for Canada’s existing home sales, and at midnight for remarks by Bank of England Governor Bailey.With a series of remarks from key U.S. officials scheduled for this week, I intend to carefully monitor the movement of the U.S. dollar at the start of the week.

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?