Will the market wait and see how much further the euro can rise?

Will the market wait and see how much further the euro can rise?

19.03.2025

In yesterday’s U.S. currency trading, the Canadian dollar weakened against the yen despite the release of Canada’s February Consumer Price Index (CPI), which showed a year-over-year increase from 1.9% in the previous month to 2.6%. The CAD/JPY pair fell from 105.017 to 104.164. It dropped from the +2σ to the -2σ levels on the hourly Bollinger Bands.On the 4-hour chart, the 200 EMA acted as a resistance level, causing the candlesticks to pull back. On the daily chart, the RSI is stagnating around the 50 level.

European currencies rose against the yen after Germany’s March ZEW Economic Sentiment Index, released yesterday, improved significantly from 26.0 the previous month to 51.6, surpassing market expectations of 50.4.The EUR/JPY pair rose from 162.808 to 164.173. A trend has emerged along the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, prices are rising along the 10-period MA, and on the daily chart, the price has broken through the upper resistance zone of the 200-period simple moving average (SMA) with a real body candle.

Today’s schedule includes the Australian Westpac Leading Index at 8:30, Japan’s machinery orders, customs-based trade balance, and industrial production at 8:50, the Bank of Japan’s policy rate decision and statement around 12:00, a press conference by BOJ Governor Ueda at 15:30, South Africa’s Consumer Price Index at 17:00, the Eurozone’s, around 12:00 PM Japan’s BOJ policy rate and statement, at 3:30 PM a press conference by BOJ Governor Ueda, at 5:00 PM South Africa’s Retail Sales and the U.S. MBA Mortgage Applications Index, at 11:30 PM U.S. Weekly Crude Oil Inventories, at 3:00 AM the U.S. FOMC policy rate and statement, and at 3:30 AM a press conference by Fed Chair Powell. We intend to cautiously monitor the upside potential of the euro, which has risen.

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