All eyes are on whether the U.S. dollar, which has been strengthening ahead of the FOMC meeting, will continue to rise.
30.07.2024
- Swiss KOF Early Indicator
- Germany's Consumer Price Index
In yesterday’s U.S. trading session, the U.S. dollar strengthened. The USD/JPY pair rose from 152.992 to 154.348, rebounding to just above the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the pair is trading just below the 20-period MA, while on the daily chart, it has rebounded with the 200-period exponential moving average (EMA) acting as support. We will be watching price movements during U.S. trading hours to see if this rebound in the U.S. dollar will continue to rise, potentially coinciding with end-of-month flows.
Among European currencies, the euro weakened against the U.S. dollar.The EUR/USD pair fell by just over 60 pips from 1.0869 to 1.0820. It dropped from the 200-period EMA on the hourly chart to the -3σ level of the Bollinger Bands. On the 4-hour chart, the price has fallen just below the 200-period SMA, and the daily chart shows a similar price movement. We will need to watch the price action during European trading hours to see if the euro continues to weaken against the US dollar.
Today’s economic indicators include Japan’s employment statistics at 8:30, Australia’s housing construction permits at 10:30, France’s real GDP and consumer spending at 14:30, Switzerland’s KOF Leading Index at 16:00, Germany’s second-quarter GDP at 17:00, the Eurozone’s consumer confidence index at 18:00, and the Eurozone’sBusiness Sentiment, Germany’s Consumer Price Index at 9:00 PM, Mexico’s Q2 GDP at 9:00 PM, the U.S. Housing Price Index and S&P Case-Shiller Home Price Index at 10:00 PM, and the U.S. JOLTS Job Openings at 11:00 PM. With the U.S. dollar showing strength ahead of the FOMC meeting, we will be watching closely to see if it continues to rise.
Author: Keisuke Sakurai
