Be on the lookout for sharp price fluctuations amid declining volatility
24.12.2024
- Richmond Fed Manufacturing Index
- Hao: RBA Minutes Released
In the previous day's U.S. currency trading, the U.S. dollar rose against the yen.The USD/JPY pair rose from 156.310 to 157.266. An uptrend has emerged along the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, prices are trending upward while finding solid support at the 10-period MA, and on the daily chart, the RSI is holding above the 66 level with some room to spare. We will be closely monitoring the sustainability of the US dollar’s upward momentum against the yen.
European currencies saw the euro rise slightly against the yen after Germany’s November import price index, released yesterday, improved from a year-on-year decline of 0.8% to a 0.6% increase.The euro/yen pair traded between 162.850 and 163.620, fluctuating around the 20-period moving average (MA) on the hourly chart. On the daily chart, the pair has broken through the resistance zone formed by the 200-period exponential moving average (EMA), and it will be interesting to see if the 200-EMA will now act as a support level.
Today’s key events include the release of the minutes from the Bank of Japan (BOJ) meeting at 8:50 a.m., the release of the RBA minutes at 9:30 a.m., the Richmond Fed Manufacturing Index at 12:00 a.m., and the U.S. 5-year Treasury auction at 1:30 a.m. As today is the day before Christmas, major markets in Europe and the U.S. will have shortened trading hours. Please be particularly cautious of sudden price fluctuations amid low volatility.
Author: Keisuke Sakurai
