Will the Canadian dollar react to the number of existing home sales? Keep an eye on the market direction.
15.05.2023
- Kashkari: Remarks by the President of the Minneapolis Federal Reserve Bank
- Number of New and Existing Home Sales
Last weekend, the Canadian dollar, which moved in a similar pattern to the U.S. dollar, rose against the yen. The CAD/JPY pair rose from 99.554 to 100.226.It continues to trend upward during today’s Asian session, having risen to 100.319. From a technical perspective, the 200-period EMA on the 4-hour chart is acting as a support level, and the pair has already broken above the 20-period MA. However, since it has entered an ascending triangle—characterized by lower highs and higher lows—it is important to watch whether the pair will break out to the upside after a period of consolidation.
The euro rose against the yen following the release of Germany’s March current account balance on Friday, which improved from €22.6 billion to €32.4 billion. The euro/yen pair rose from 146.654 to 147.484.During today’s Asian session, it has climbed as high as 147.755. On the 4-hour chart, EUR/JPY has broken out of a triple top pattern and is rising again, so we will be watching for further gains during the European session.
Today’s schedule includes Japan’s machine tool orders at 3:00 PM, Switzerland’s producer import prices and India’s wholesale price index at 3:30 PM, and the Eurozone’sIndustrial Production, at 9:10 PM: Germany – Remarks by Nagel, President of the German Federal Bank, at 9:15 PM: Canada – Housing Starts, at 9:30 PM: Canada – Wholesale Sales, U.S. – NY Fed Manufacturing Index, at 9:45 PM: U.S. – Bostic:remarks by Atlanta Fed President Bostic; at 22:00, Canada’s existing home sales; at 22:15, U.S. remarks by Minneapolis Fed President Kashkari; at 25:00, UK remarks by MPC member Pill; at 29:00, U.S. securities investment in the U.S.; and at 6:00 the following day, remarks by Fed Governor Cook.We will be closely watching the direction of the Canadian dollar to see if the existing home sales data moves the market.
Author: Keisuke Sakurai
