Will Market Participants Keep a Close Eye on Price Movements at the Start of the Week?
08.07.2024
- Japan Economic Watchers Survey
- Mexico Consumer Price Index
In the U.S. currency market the previous day, despite the June U.S. employment report released on the 5th showing that the unemployment rate worsened by 0.1 percentage points to 4.1% and that nonfarm payrolls were revised downward from 272,000 the previous month to 206,000, the U.S. dollar rose against the yen immediately after the report was released.The USD/JPY pair rose from 160.340 to 161.325. It then gradually retreated. On the 4-hour chart, the pair is trading below the 20-period moving average (MA), and on the daily chart, it is in the process of breaking below the 10-period MA, which had previously served as support.
European currencies rose as the euro strengthened against the U.S. dollar following the release on the 5th of May’s European retail sales figures, which showed a year-over-year increase of 0.3%, up from 0.0% the previous month.The EUR/USD pair rose from 1.0797 to 1.0842, forming an uptrend along the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the pair is moving along the +2σ line of the Bollinger Bands, and on the daily chart, it has regained its position above the 200-period simple moving average (SMA).
Today’s economic indicators include Japan’s Monthly Labor Survey at 8:30, Japan’s Balance of Payments at 8:50, Japan’s Economic Watchers Survey at 14:00, Germany’strade balance at 5:00 p.m., Mexico’s Consumer Price Index at 9:00 p.m., and remarks by UK MPC member Haskell at 1:15 a.m. With Fed Chair Powell’s congressional testimony scheduled for later this week, we will first closely monitor price movements at the start of the week with caution.
Author: Keisuke Sakurai
