Be on the lookout for currency strength and weakness during European trading hours
20.08.2024
- European Consumer Price Index
- Sweden: Policy Interest Rate
In yesterday’s U.S. currency trading, the U.S. dollar fell against the yen after the U.S. July Leading Economic Index, released yesterday, deteriorated to -0.6% from -0.2% the previous month. The USD/JPY pair fell from 148.056 to 145.176, tracking a decline along the -3σ line of the hourly Bollinger Bands.On the 4-hour chart, a decline from the 20-day moving average is evident, and on the daily chart, the RSI has fallen to 35.
Among European currencies, the pound fell against the yen. The GBP/JPY pair dropped from 191.613 to 188.249. It plummeted from the 20-period moving average on the hourly chart to just below the 200-period moving average. On the 4-hour chart, it has fallen to the -2σ level of the Bollinger Bands. However, it has shown signs of recovery during today’s Asian session, and with the pound trading firmer, we will be watching for its ability to rebound during European trading hours.
Today’s schedule includes the release of China’s prime lending rate at 10:00, the RBA minutes at 10:30, Germany’s producer price index at 15:00, Sweden’s policy rate and the EU’s current account balance at 16:30, Taiwan’s current account balance at 17:20, and the EU’sConsumer Price Index and EU Construction Output, at 6:30 PM: Remarks by SNB Governor Jordan (Switzerland), at 8:00 PM: TCMB Policy Rate and Statement (Turkey), at 9:30 PM: Canadian Consumer Price Index, at 2:35 AM: Remarks by Bostic, President of the Atlanta Fed (U.S.), and at 3:45 AM: Remarks by Fed Chair Barr (U.S.).We will carefully assess currency strength and weakness during European trading hours.
Author: Keisuke Sakurai
