Should we keep an eye on the pound-yen pair’s potential rebound after falling by about 3.5 yen?

Should we keep an eye on the pound-yen pair’s potential rebound after falling by about 3.5 yen?

01.11.2024

In yesterday’s U.S. currency markets, the U.S. dollar fell against the euro after the September PCE deflator, released yesterday, declined to 2.1% year-over-year from 2.2% the previous month, while the core deflator remained flat year-over-year.The EUR/USD pair rose from 1.0844 to 1.0888. The price rose along the 20-period moving average (MA) on the hourly chart. Similar price action was observed on the 4-hour chart, and on the daily chart, the RSI is beginning to rise from the 30 level.

Among European currencies, the pound remained the weakest for the second consecutive day. The GBP/JPY pair fell from 198.890 to 195.351, representing a yen appreciation of approximately 3.5 yen. On the 4-hour chart, the price has broken below the 75-MA support line with a real body candle, and on the daily chart, the price has fallen from the +2σ Bollinger Band to the centerline. Therefore, we will be watching closely to see if the pound rebounds during European trading hours.

Today’s schedule includes South Korea’s trade balance at 9:00, Indonesia’s Manufacturing PMI, Malaysia’s Manufacturing PMI, and Australia’s Producer Price Index at 9:30, China’s Caixin Manufacturing PMI at 10:45, the UK’s Nationwide House Price Index and Turkey’s Manufacturing PMI at 16:00,at 4:30 PM, the Swiss Consumer Price Index; at 5:30 PM, the Swiss Manufacturing PMI; at 9:30 PM, the U.S. Employment Report; at 10:45 PM, the U.S. PMI Purchasing Managers’ Index, remarks by Logan, President of the Dallas Fed; and at 11:00 PM, the U.S. ISM Manufacturing Index and U.S. Construction Spending.We will closely monitor the rebound potential of GBP/JPY, which has fallen by approximately 3.5 yen.

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