Should we wait and see how the euro-yen pair plays out?

Should we wait and see how the euro-yen pair plays out?

26.02.2025

In yesterday’s U.S. currency trading, the U.S. dollar fell against the yen despite the fact that the U.S. December Housing Price Index, released yesterday, showed a slight recovery to 0.4% from the previous month’s 0.3%, and the quarterly result also came in higher than the previous reading. The USD/JPY pair fell from 150.290 to 148.574. On the hourly chart, the price moved from above the 20-period moving average (MA) to below it.On the 4-hour chart, the downtrend along the 20-period moving average continues, and on the daily chart, the RSI has fallen to 32.

European currencies saw the euro fluctuate against the yen after the final reading of Germany’s fourth-quarter real GDP, released yesterday, remained unchanged from the previous estimate of -0.2% year-on-year.The EUR/JPY pair traded between 156.085 and 157.304. Price action was seen fluctuating around the 20-period moving average on the hourly chart. On the 4-hour chart, prices are rising without testing new lows, and the daily chart also shows signs of maintaining upward momentum.

Today’s schedule includes the Australian CPI at 9:30, the Japanese TDI and Singapore’s industrial production at 14:00, Thailand’s policy rate and statement at 16:00, the German GfK consumer confidence survey at 16:45, the French consumer confidence index at 17:00, South Africa’s CPI and Taiwan’s employment statistics at 17:30, andat 21:00, the U.S. MBA Mortgage Applications Index; at 22:30, remarks by U.S. Richmond Fed President Barkin; at 24:00, U.S. New Home Sales; and at 26:00, Russian Industrial Production. I intend to carefully monitor the direction of the Euro/Yen pair, which is currently in a tight range.

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