Markets may be watching currency strength and weakness following the holiday break in Europe and the U.S.

Markets may be watching currency strength and weakness following the holiday break in Europe and the U.S.

26.12.2024

In the U.S. currency market yesterday, trading was subdued with limited price movement as Europe and the U.S. observed the Christmas holiday. During today’s Asian trading session, the U.S. dollar rose against the yen. The USD/JPY pair edged higher from 157.074 to 157.476. On the 4-hour chart, the pair is finding support at the 10-period moving average, while on the daily chart, it is currently attempting to break above the +2σ level of the Bollinger Bands.

In European currency trading, the pound opened with a gap of about 60 pips higher against the yen during today’s Asian session. GBP/JPY rose from 196.853 to 197.551. 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 20-period MA is providing solid support at the lower end, and the price is gradually forming higher lows. We will be watching for signs of whether the pound’s momentum continues during today’s U.S. trading session.

Today’s key economic indicators include Japan’s housing starts and construction orders at 2:00 PM, Singapore’s manufacturing production at 2:00 PM, the Turkish Central Bank’s (TCMB) policy rate decision and statement at 8:00 PM, Russia’s foreign exchange reserves at 10:00 PM,at 10:30 PM: U.S. Initial Jobless Claims; at 3:00 AM: U.S. Weekly Crude Oil Inventories; and at 3:00 AM: U.S. 7-Year Treasury Auction. We plan to carefully monitor currency strength and weakness following the holiday break in Europe and the U.S.

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