Will the currency strength dynamics—marked by selling of the U.S. dollar and the yen—change? Caution is advised.

Will the currency strength dynamics—marked by selling of the U.S. dollar and the yen—change? Caution is advised.

29.08.2023

In the previous day’s U.S. currency trading, a trend of selling both the yen and the U.S. dollar emerged, causing the dollar to fluctuate against the yen. The USD/JPY pair traded in a narrow range of just under 50 pips between 146.269 and 146.743, lacking any clear direction. On the hourly chart, price action has straddled the 20-period moving average (MA), while on the 4-hour chart, it is trading above the 10-period MA.On the daily chart, the RSI has not yet reached 70, leaving some room for movement, so we should remain cautious regarding the dollar’s price action during U.S. trading hours.

Among European currencies, the euro rose slightly against the yen. The EUR/JPY pair climbed from 158.015 to 158.570. The candlestick, which had fallen below the 20-day moving average (MA) on the daily chart, has recovered to trade above the 20-day MA. On the 4-hour chart, the price appears to be moving toward the upper boundary of the uptrend line, so we will be watching for further gains in the euro during European trading hours.

Today, at 3:00 PM, Germany’s GfK Consumer Confidence Survey; at 3:45 PM, France’s Consumer Confidence Index; at 4:00 PM, Turkey’s Trade Balance; at 9:00 PM, Hungary’s policy rate and statement release, and Mexico’s Q2 GDP;the U.S. S&P/Case-Shiller Home Price Index at 10:00 PM, U.S. JOLTS Job Openings and Labor Turnover Survey at 11:00 PM, the U.S. Conference Board Consumer Confidence Index at 11:00 PM, a U.S. 7-year Treasury auction at 2:00 AM, and remarks by U.S. Federal Reserve Vice Chair Bar at 4:00 AM.I want to carefully monitor price movements to see if the currency strength dynamics—which have favored selling the US dollar and the yen—will shift.

Past Market Reports

1. 21.04.2026New

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

2. 20.04.2026New

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

3. 17.04.2026New

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

4. 16.04.2026New

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

5. 15.04.2026New

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

6. 14.04.2026

   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

7. 13.04.2026

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

8. 10.04.2026

   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?

9. 09.04.2026

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

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran