Should we focus on the upside potential of the rising CHF/JPY pair?

Should we focus on the upside potential of the rising CHF/JPY pair?

26.11.2024

In yesterday's U.S. currency trading, the U.S. dollar saw a seesaw battle against the yen. The USD/JPY pair traded between 153.548 and 154.718, with price action straddling the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the 20-period moving average is acting as resistance, while on the daily chart, the pair appears poised to break below the 20-period moving average, which had previously served as support. Furthermore, during today’s Asian session, the pair is falling with enough momentum to potentially break below yesterday’s low, so we should pay close attention to price movements during the U.S. session.

Among European currencies, the Swiss franc rose against the yen. The CHF/JPY pair climbed from 172.630 to 174.054. On the hourly chart, the price has moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the price has recovered to just below the 20-period MA, while on the daily chart, the 200-period simple moving average (SMA) is acting as support. However, as resistance has been strong during today’s Asian session, we will be closely monitoring price movements during the European session.

Today’s economic indicators include Japan’s Corporate Service Price Index at 8:50, Singapore’s Industrial Production at 14:00, Hong Kong’s Trade Balance at 17:30, Brazil’s Broad Consumer Price Index at 21:00, remarks by BOC Deputy Governor Mendes at 22:05, and the U.S.U.S. Housing Price Index and U.S. S&P Case-Shiller Home Price Index at 21:00, U.S. Richmond Fed Manufacturing Index and U.S. New Home Sales at 24:00, U.S. 5-Year Treasury Auction at 27:00, and the release of the U.S. FOMC Minutes at 28:00. We will be watching for upside potential in the CHF/JPY pair, which has been rising.