All eyes are on whether the rising CAD/JPY pair will continue to climb during U.S. trading hours.
14.03.2024
- U.S. Retail Sales
- Canada: Manufacturing Revenue
In U.S. trading yesterday, the Canadian dollar rose during U.S. trading hours. The CAD/JPY pair climbed from 109.128 to 109.847, reaching the 200-period EMA on the hourly chart.Furthermore, the upward trend has continued into today’s Asian trading session. On the daily chart, the pair reversed course and rose before reaching the 200-day SMA, so we will be closely monitoring whether the Canadian dollar continues to strengthen against the yen.
European currencies rose against the U.S. dollar, even though January industrial production in the eurozone—released yesterday—fell to a year-over-year decline of 6.7%, down from the previous month’s 1.2% increase.The EUR/USD pair rose from 1.0919 to 1.0964, reaching the +3σ level of the hourly Bollinger Bands. On the daily chart, the RSI for EUR/USD has risen to around 65—just shy of the 70 level that signals overbought conditions—so traders should be on the lookout for a potential price correction.
Today's economic indicators include the UK RICS House Price Index at 9:01, the IndiaWholesale Price Index at 15:30, Sweden’s Consumer Price Index at 16:00, Switzerland’s Producer Price Index at 16:30, Hong Kong’s Industrial Production at 17:30, South Africa’s Manufacturing Production at 20:00, Turkey’s Foreign Exchange Reserves at 20:30,at 9:30 p.m. U.S. initial jobless claims, U.S. retail sales, Canadian manufacturing sales, and U.S. Producer Price Index, and at 11:00 p.m. U.S. business inventories. It will be interesting to see if the rising CAD/JPY pair continues to gain ground during U.S. trading hours.
Author: Keisuke Sakurai
