Will the rising CHF/JPY pair continue its upward trend, or should we wait and see?

Will the rising CHF/JPY pair continue its upward trend, or should we wait and see?

07.05.2024

In yesterday's U.S. currency trading, the U.S. dollar rose against the yen.The USD/JPY pair rose from 152.7662 to 153.964. The rise followed the 20-period moving average (MA) on the hourly chart. It has continued to rise during today’s Asian session, already touching 154.629. On the 4-hour chart, the RSI is showing neutrality around 50, while on the daily chart, the 75-period MA is acting as support, causing a rebound. We need to carefully assess whether the US dollar will continue to regain momentum against the yen.

Among European currencies, the Swiss franc weakened during U.S. trading hours. However, it strengthened against the Japanese yen, which had been the weakest currency, with the CHF/JPY pair rising from 168.632 to 170.164. It has continued to hit new highs during today’s Asian trading session as well. On the 4-hour chart, the 20-period moving average is acting as a support level and is trending upward, so we will be watching closely to see if the franc’s momentum against the yen continues.

Today’s schedule includes the Philippine Consumer Price Index at 10:00, Australian Retail Sales at 10:30, the Thai Consumer Price Index at 12:30, the RBA policy rate and statement at 13:30, RBA Governor Bullock’s press conference at 14:30, Swiss Employment Statistics at 14:45, German Manufacturing Orders and the German Trade Balance at 15:00,15:45: France’s current account balance and trade balance; 17:00: Taiwan’s Consumer Price Index; 17:30: UK Construction PMI; 18:00: Eurozone Retail Sales; 23:00: Canada’s Ivey PMI; 24:30: U.S. Kashkari:Remarks by Minneapolis Fed President Kashkari, and at 26:00, a US 3-year Treasury auction. I want to watch carefully to see if the rising CHF/JPY pair will extend its gains.