Should we keep an eye on the upside potential of the resilient USD/JPY pair?
22.04.2024
- CBI Business Survey (UK)
- Chicago Fed National Activity Index
Last weekend, the U.S. dollar strengthened against the yen. The USD/JPY pair rose from 153.595 to 154.690, firmly holding its ground in the 154-yen range. On the 4-hour chart, the 20-period moving average is acting as support, and the pair continues to rise gradually. On the daily chart, it is climbing without falling below the 10-period moving average. We will be watching closely to see if the U.S. dollar continues to rise against the yen during U.S. trading hours.
Despite the fact that UK retail sales for March, released on the 19th, rebounded to +0.8% from -0.4% the previous month, the pound became the weakest currency during U.S. trading hours. The GBP/JPY pair fell from 192.722 to 190.953.The pound continues to face resistance in today’s Asian trading session. On the 4-hour chart, the 200-period simple moving average (SMA) is acting as a support level, while on the daily chart, the price is positioned just below the 20-period moving average (MA). We will be watching closely to see if the pound continues to be capped on the upside and declines further.
Today’s economic indicators include the UK Rightmove House Price Index at 8:01, the Turkey Consumer Confidence Index at 16:00, the Philippines Industrial Production at 17:00, and the UKCBI Business Survey at 19:00, Mexico’s Economic Activity Index at 21:00, Canada’s Industrial Product Prices and Raw Materials Price Index, and the U.S. Chicago Fed National Activity Index at 21:30, ECB President Lagarde’s remarks and the U.S. 6-month Treasury bill auction at 24:30, and South Korea’s Producer Price Index (PPI) growth rate at 30:00.We want to carefully assess the upside potential of the firm USD/JPY pair.
Author: Keisuke Sakurai
