Should we be wary of the rise in the USD/JPY exchange rate?

Should we be wary of the rise in the USD/JPY exchange rate?

10.07.2024

In U.S. trading yesterday, the U.S. dollar rose against the yen. The USD/JPY pair climbed from 160.728 to 161.513. The rise followed the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the 75-period MA is acting as a support level, while on the daily chart, the price has rebounded after touching the 10-period MA. Since the weekly chart has shown four consecutive bullish candles, we should keep an eye on price gains during U.S. trading hours.

Among European currencies, the pound weakened against the U.S. dollar. The GBP/USD pair fell from 1.2824 to 1.2776. It broke below the 20-period moving average (MA) on the hourly chart. Similarly, it has fallen below the 20-period MA on the 4-hour chart, and on the daily chart, it has pulled back from the +2σ line of the Bollinger Bands. We will be watching price movements during European trading hours to see if the pound continues to weaken against the U.S. dollar.

Today’s economic indicators include Japan’s domestic corporate goods price index at 8:50, China’s consumer price index at 10:30, the RBNZ policy rate and statement at 11:00, Turkey’s employment statistics and industrial production at 16:00, the U.S. MBA mortgage applications index at 20:00, and U.S. wholesale inventories at 23:00,remarks by German Bundesbank President Nagel, testimony by Fed Chair Powell before Congress, U.S. weekly crude oil inventories at 11:30 PM, remarks by a member of the Bank of England’s Monetary Policy Committee at 12:30 AM, a U.S. 10-year Treasury auction at 2:00 AM, and remarks by Fed Governor Bowman at 3:30 AM. Keep an eye on the upward momentum in the USD/JPY exchange rate.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed