Will the market wait and see which direction the Canadian dollar takes against the yen?
15.01.2025
- U.S. – Barkin: Remarks by the President of the Richmond Federal Reserve Bank
- U.S. Consumer Price Index
In yesterday's U.S. currency trading, the Canadian dollar rose against the yen. The CAD/JPY pair climbed from 109.189 to 110.150, breaking through the resistance line formed by the 200-period simple moving average (SMA) on the hourly chart.On the 4-hour chart, the pair failed to make a new high and has since pulled back, while on the daily chart, the candlestick has reversed just short of the 200-day SMA looming overhead. We will closely monitor whether the Canadian dollar’s momentum holds during U.S. trading hours.
Among European currencies, the euro emerged as the strongest currency during U.S. trading hours. The euro/yen pair rose from 160.976 to 162.882, breaking well above the resistance zone formed by the 200-period simple moving average (SMA) on the hourly chart. On the 4-hour chart, the RSI rebounded sharply from 22 to 57. However, the euro has been weakening again during today’s Asian trading session, gradually erasing yesterday’s gains.
Today’s schedule includes Japanese machine tool orders at 3:00 PM, UK Consumer Price Index and UK Producer Price Index at 4:00 PM, Eurozone industrial production at 7:00 PM, US MBA Mortgage Applications Index at 9:00 PM, Canadian manufacturing shipments and US Consumer Price Index at 10:30 PM, Canadian existing home sales at 11:00 PM, and US Federal Reserve Bank of Richmond President Barkin’s remarks at 11:20 PM.Remarks by Richmond Fed President Barkin, 12:30 AM: US Weekly Crude Oil Inventories, 1:00 AM: Remarks by New York Fed President Williams. We will be closely monitoring the direction of the Canadian dollar, which has risen against the yen.
Author: Keisuke Sakurai
