All eyes are on price movements to see if the momentum of the GBP/JPY pair, which has risen by just under 3 yen, will hold

All eyes are on price movements to see if the momentum of the GBP/JPY pair, which has risen by just under 3 yen, will hold

27.01.2025

Last weekend, the U.S. dollar fell against the euro. The EUR/USD pair traded between 1.0410 and 1.0521. A band walk along the +2σ line of the hourly Bollinger Bands was observed. On the 4-hour chart, the price has already reached the +3σ line of the Bollinger Bands, and on the daily chart, the RSI has risen to 60. The pair is currently in the process of setting a new high for the month.

European currencies saw the pound rise against the yen after the UK’s January services and manufacturing PMIs, released on the 24th, showed improvements in both sectors compared to the previous month. GBP/JPY rose from 192.074 to 194.736. The hourly RSI surged to 73.On the 4-hour chart, the candlesticks have extended to the 200-day SMA above, and on the daily chart, the price has broken above the resistance line of the 200-day EMA.

Today’s key economic indicators include the China Manufacturing/Non-Manufacturing PMI at 10:30, Japan’s Leading Economic Index at 14:00, remarks by ECB President Lagarde at 17:10, Germany’s IFO Business Climate Index at 18:00,the US Chicago Fed National Activity Index at 10:30 PM, US New Home Sales at 12:00 AM, the US Dallas Fed Manufacturing Activity Index at 12:30 AM, the US 2-Year Treasury Auction at 1:30 AM, the US 5-Year Treasury Auction at 3:00 AM, and remarks by SNB Governor Schlegel at 6:25 AM the following day.We will be watching the price action to see if the momentum of the GBP/JPY pair, which has risen by just under 3 yen, can be sustained.

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