All eyes are on whether the USD/JPY pair will rebound after two consecutive days of declines

All eyes are on whether the USD/JPY pair will rebound after two consecutive days of declines

21.02.2025

In yesterday’s U.S. currency trading, the U.S. dollar fell against the yen. The USD/JPY pair dropped from 151.467 to 149.414. A downtrend has formed along the 10-period moving average on the hourly chart.On the 4-hour chart, the RSI fell below the oversold level of 30 and dropped to 20. On the daily chart, the price has fallen to the -2σ level of the Bollinger Bands. We will need to monitor price movements during U.S. trading hours to see if the U.S. dollar continues to decline.

European currencies fell against the yen after Germany’s January producer price index, released yesterday, came in at 0.5% year-on-year—down from 0.8% the previous month and below the market forecast of 1.3%.The EUR/JPY pair fell from 157.863 to 156.320. The decline occurred as the pair encountered resistance at the 10-period moving average on the hourly chart. On the 4-hour chart, the price has fallen to the -3σ level of the Bollinger Bands. Meanwhile, during today’s Asian trading session, the pair has recovered to the upper 157 yen range.

Today, Japan’s Consumer Price Index is scheduled for 8:30, the UK’s GfK Consumer Confidence Survey for 9:01, Malaysia’s Consumer Price Index for 13:00, India’s Manufacturing/Services PMI for 14:00, UK Retail Sales for 16:00,at 4:45 PM: France Business Sentiment, at 5:15 PM: France Manufacturing/Services PMI, at 5:30 PM: Germany Manufacturing/Services PMI, at 6:00 PM: Eurozone Manufacturing/Services PMI, at 6:30 PM: UK Manufacturing/Services PMI, at 10:30 PM: Canada Retail Sales,23:45 US PMI Purchasing Managers' Index, 24:00 US University of Michigan Consumer Sentiment Index, and 25:30 remarks by US Federal Reserve Vice Chair Jefferson. We will be watching to see if the USD/JPY pair, which has fallen for two consecutive days, will recover.

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