Keep an eye on the conflicting trends in the euro-dollar exchange rate
16.09.2024
- UK Lightmove House Prices
- Europe: Trade Balance
Last weekend, the U.S. dollar traded in a range against the euro.The EUR/USD pair traded in a tight range between 1.1067 and 1.1102. On the hourly chart, the pair moved across the 20-day moving average (MA), while on the 4-hour chart, it stalled near the +2σ level of the Bollinger Bands. On the daily chart, the pair has shifted from below the 20-day MA to above it, and with the RSI rising from the midpoint of 50, it will be worth watching whether the euro will rise against the US dollar.
Among European currencies, the pound fell against the yen. The GBP/JPY pair dropped from 186.180 to 184.412. The decline was driven by resistance at the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the pair rebounded after touching the 20-period MA, while the daily chart shows a band walk along the -2σ line of the Bollinger Bands. We will need to monitor price movements during European trading hours to see if the pound continues to decline against the yen.
Today’s economic indicators include the UK Rightmove House Price Index at 8:01 a.m., India’s Wholesale Price Index and Switzerland’s Producer Price Index at 3:30 p.m., the Eurozone Trade Balance at 6:00 p.m., Canada’s Industrial Production at 9:30 p.m., the U.S. New York Fed Manufacturing Index at 9:30 p.m., and Canada’s Existing Home Sales at 10:00 p.m.We want to carefully assess the direction of the euro-dollar pair, which is currently in a tight range.
Author: Keisuke Sakurai
