Attention is likely to focus on the price movements of the GBP/JPY pair during European trading hours
06.01.2025
- Germany's Non-Manufacturing PMI
- U.S. PMI (Purchasing Managers' Index)
Last weekend, the U.S. dollar traded in a tight range against the yen. The USD/JPY pair fluctuated between 156.886 and 157.565. Price action lacked direction, hovering around the 20-period moving average on the hourly chart. On the 4-hour chart, the pair has been gradually forming higher lows, and on the daily chart, the uptrend continues, supported by the 10-period moving average. We will need to monitor the direction closely to see if the U.S. dollar continues to rise during U.S. trading hours.
Among European currencies, the pound rose against the yen. The GBP/JPY pair climbed from 194.636 to 195.536. It broke out from below the 20-period moving average (MA) on the hourly chart to trade above it. On the 4-hour chart, the 200-period simple moving average (SMA) is acting as support, and the price has rebounded. On the daily chart, the 75-period MA is functioning as a support line, and the price is rebounding; therefore, we will be watching closely to see if the pound’s momentum holds during European trading hours.
Today’s schedule includes the China Caixin PMI at 10:45, Thailand’s Consumer Price Index at 12:30, India’s Services PMI at 14:00, Switzerland’s Retail Sales at 15:30, France’s Non-Manufacturing PMI at 17:50, Germany’s Non-Manufacturing PMI at 17:55, the Eurozone Non-Manufacturing PMI at 18:00,at 6:30 PM UK Non-Manufacturing PMI, at 10:00 PM German CPI, at 11:15 PM remarks by Fed Governor Cook, at 11:45 PM US PMI, at 12:00 AM US New Manufacturing Orders, and at 12:00 AM US Durable Goods Orders. We will be watching the price action of the rising GBP/JPY pair during European trading hours.
Author: Keisuke Sakurai
