With the long weekend in Europe and the U.S. coming to an end, will currency strength and weakness shift, or will the market wait and see?

With the long weekend in Europe and the U.S. coming to an end, will currency strength and weakness shift, or will the market wait and see?

21.04.2025

Last weekend, with U.S. markets closed, volatility in the USD/JPY pair declined. The pair fell from 142.438 to 142.092, trading above the 20-period moving average on the hourly chart.On the 4-hour chart, the decline along the 20-period moving average continues, and on the daily chart, the RSI has fallen to 30, indicating oversold conditions. We will be watching price movements during European trading hours to see if USD/JPY shows a rebound at the start of the week.

In European currency markets, the euro rose against the U.S. dollar the day after the ECB’s policy rate announcement. The EUR/USD pair rebounded from 1.1356 to 1.1396. On the hourly chart, the price moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the price is rising along the 20-period MA. On the daily chart, a band walk along the +2σ line of the Bollinger Bands has been observed.

The schedule includes China’s prime lending rate at 10:00, remarks by Chicago Fed President Goolsbee at 21:30, the U.S. Leading Economic Index at 23:00, and New Zealand’s trade balance at 7:45 the following morning. As markets reopen following the long weekend in Europe and the U.S., we will carefully assess whether currency strength and weakness will shift.

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