With tomorrow’s FOMC meeting approaching, will the U.S. dollar continue to weaken? This is something to watch closely.

With tomorrow’s FOMC meeting approaching, will the U.S. dollar continue to weaken? This is something to watch closely.

28.01.2025

In yesterday’s U.S. trading session, the U.S. dollar weakened against the yen. The USD/JPY pair fell from 156.234 to 153.728. The price broke below the -3σ line on the hourly Bollinger Bands, and the candlestick closed lower. On the 4-hour chart, the price has broken well below the 200-period simple moving average (SMA), which had been acting as a support level, and on the daily chart, the price has fallen to the 75-period SMA. We will need to monitor whether the U.S. dollar continues to weaken during U.S. trading hours.

Among European currencies, the Swiss franc was the second-strongest after the Japanese yen. The USD/CHF pair fell from 0.9072 to 0.8970. On the hourly chart, the price has moved from above the 20-period moving average (MA) to below it. On the 4-hour chart, the price has broken below the 200-period simple moving average (SMA) support line, and on the daily chart, it has broken below the 20-period MA line, which had previously provided support. We will be watching price movements during European trading hours to see if the Swiss franc continues to strengthen.

Today’s economic indicators include the Australian NAB Business Confidence Index at 9:30, Japanese machine tool orders at 15:00, the FrenchConsumer Confidence Index, 10:00 PM for Hungary’s Central Bank Policy Rate and Statement, 10:30 PM for U.S. Durable Goods Orders, 11:00 PM for the U.S. S&P/Case-Shiller Home Price Index, 12:00 AM for the U.S. Consumer Confidence Index and the U.S. Richmond Fed Manufacturing Index, and 3:00 AM for the U.S. 7-Year Treasury Auction.With tomorrow’s U.S. FOMC meeting approaching, we should remain vigilant regarding the direction of the U.S. dollar to see if it continues to weaken.

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