It remains to be seen whether the GBP/JPY pair, which has been stuck in the upper 180-yen range, will break out.

It remains to be seen whether the GBP/JPY pair, which has been stuck in the high 180-yen range, will break out.

26.12.2023

In the U.S. currency market the previous day, currencies traded with low volatility due to the Christmas holiday. The CAD/JPY pair rose, in contrast to the weakening USD/JPY, climbing from 106.818 to 107.559.From a technical perspective, the CAD/JPY pair has failed in two attempts to break below the daily 200-period SMA and has entered a rebound phase. We will carefully monitor whether the Canadian dollar continues to strengthen against the yen during European trading hours.

European currency markets were closed for Christmas in major countries, just as they were in the U.S., and markets in the U.K., Germany, Switzerland, and other countries are scheduled to remain closed today as well. The GBP/JPY pair is trading within a very narrow range in the high 180s. We will be watching closely to see if the pound continues to show no distinctive price movement against the yen as we approach the end of the European holiday period.

Today, at 8:30, Japan’s employment statistics and corporate service price index will be released; at 14:00, Singapore’s industrial production and consumer price index will be released; at 16:00, Turkey’s capacity utilization rate and manufacturing confidence index will be released;at 10:30 p.m., the U.S. Chicago Fed National Activity Index; at 11:00 p.m., the U.S. Housing Price Index and the U.S. S&P Case-Shiller Home Price Index; at 12:30 a.m., the U.S. Dallas Fed Manufacturing Activity Index; at 2:00 a.m., the U.S. 2-year Treasury auction;and at 30:00, South Korea’s Consumer Confidence Index is scheduled to be released. I’d like to carefully monitor the situation to see if the GBP/JPY pair, which has been stuck in the high 180-yen range, will finally break out.