Will the market wait and see how much further the CHF/JPY pair can rise?
28.04.2025
- Dallas Fed Manufacturing Activity Index
- No remarks by dignitaries are scheduled
Last weekend, the Canadian dollar emerged as the strongest currency alongside the U.S. dollar during U.S. trading hours, as Canada’s February retail sales figures—released on the 25th—showed improvements in both the headline and core indices compared to the previous reading. The CAD/JPY pair rose from 102.837 to 103.946.A rebound occurred upon touching the 200-period SMA on the hourly chart. On the 4-hour chart, the pair is currently attempting to break above the upper resistance zone formed by the 200-period SMA, while on the daily chart, it has broken through the 20-period MA, which had previously acted as resistance.
Among European currencies, the Swiss franc rose against the yen. The CHF/JPY pair climbed from 172.041 to 173.656. It recovered from the -3σ to the +3σ levels on the hourly Bollinger Bands. On the 4-hour chart, the RSI has risen from 33 to 60, and on the daily chart, the price has formed a bullish engulfing candle that has engulfed the previous two trading days. We will be watching price movements during European trading hours to see if the Swiss franc’s momentum holds.
Today’s economic calendar features the UK CBI Retail Trade Survey at 7:00 PM and the Dallas Fed Manufacturing Activity Index at 11:30 PM. Aside from these, no major economic releases or key speeches are currently scheduled. We will carefully monitor the upside potential of the CHF/JPY pair, which has risen significantly.
Author: Keisuke Sakurai
