Should We Wait and See How Much Further the Pound-Yen Pair Can Rise After Its Rebound?
03.03.2025
- UK Manufacturing PMI
- U.S. PMI (Purchasing Managers' Index)
Last weekend, the U.S. dollar rose against the yen despite the fact that the U.S. PCE deflator, released on February 28, showed a year-over-year decline—including the core component—compared to the previous month.The USD/JPY pair rose from 149.104 to 150.986, breaking above the resistance level of the 200-period simple moving average (SMA) on the hourly chart. On the 4-hour chart, the price has recovered to near the 75-period MA, and on the daily chart, a retracement has occurred from the -2σ Bollinger Band to the centerline.
Among European currencies, the pound strengthened against the U.S. dollar during U.S. trading hours, second only to the U.S. dollar. The GBP/JPY pair rose from 187.963 to 190.312. The hourly RSI recovered from 35 to 62.On the 4-hour chart, the price has risen from below the 20-period moving average (MA) to above it, and on the daily chart, it avoided hitting a new low and rebounded. It will be worth watching whether the pound maintains its strength into the beginning of the month.
Today, at 9:30 a.m., Indonesia’s Manufacturing PMI, Malaysia’s Manufacturing PMI, and Thailand’s Manufacturing PMI will be released; at 1:00 p.m., Indonesia’s Consumer Price Index; at 2:00 p.m., India’s Manufacturing PMI; at 4:00 p.m., Turkey’s Manufacturing PMI;Turkey’s Consumer Price Index, at 5:30 PM Hong Kong’s Retail Sales and Switzerland’s Manufacturing PMI, at 5:50 PM France’s Manufacturing PMI, at 5:55 PM Germany’s Manufacturing PMI, at 6:00 PM the Eurozone’s Manufacturing PMI, at 6:30 PM the UK’s Manufacturing PMI,Eurozone Consumer Price Index at 19:00, U.S. PMI at 23:45, and U.S. ISM Manufacturing Index at 24:00. I intend to carefully monitor the upside potential of the GBP/JPY pair, which has shown signs of a rebound.
Author: Keisuke Sakurai
