Should we keep an eye on whether the Swiss franc’s upward trend continues?

Should we watch for further gains in the Swiss franc, which is showing signs of strength?

16.05.2025

In yesterday’s U.S. currency trading, the Canadian dollar fell against the yen after Canada’s March wholesale sales, released yesterday, declined to 0.2% from 0.3% the previous month. The CAD/JPY pair fell from 104.984 to 103.948, with the price decline tracking the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the pair is searching for direction just below the 200-period EMA, while on the daily chart, the pullback from the 200-period SMA has been continuing for three days.

Among European currencies, the Swiss franc made significant gains against the Japanese yen during the transition from European to U.S. trading hours. The USD/CHF pair fell from 0.8419 to 0.8346.The 20-period moving average on the hourly chart has shifted from above to below the price. On the 4-hour chart, both the lows and highs are trending lower, and on the daily chart, the price has pulled back after touching the +3σ line of the Bollinger Bands. We will be watching closely to see if the Swiss franc maintains its strength during today’s U.S. trading session.

Today’s economic indicators include Japan’s preliminary real GDP at 8:50, New Zealand’s 2-year inflation expectations at 12:00, Japan’s industrial production at 13:30, and the Eurozone’strade balance, at 20:00, remarks by SNB Governor Schlegel of Switzerland, at 21:30, Canada’s international securities turnover, U.S. housing starts, and U.S. import price index, at 23:00, the University of Michigan Consumer Sentiment Index, and at 24:00, remarks by BOE Deputy Governor Lombardelli of the UK.We will carefully assess whether the Swiss franc, which has been strengthening, can continue its upward trend.