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Will the market cautiously monitor the mixed movements of the pound against the dollar?

Market Report

Will the market cautiously monitor the mixed movements of the pound against the dollar?

Today's Highlights
  1. European Consumer Price Index
  2. Japan: Tertiary Industry Activity Index

Last weekend, the U.S. dollar rose slightly against the euro. The EUR/USD pair fell from 1.1218 to 1.1131, pulling back as it encountered resistance at the 200-period EMA on the hourly chart.On the 4-hour chart, the RSI has fallen from 51 to 38, and on the daily chart, the pair is currently searching for direction after encountering resistance just below the upper end of the 20-day moving average. We will be watching closely to see if a clear direction emerges at the start of the week during U.S. trading hours today.

Among European currencies, the pound fell slightly against the U.S. dollar. The GBP/USD pair dropped from 1.3332 to 1.3250. On the hourly chart, the candlesticks fell from the +2σ to the -3σ levels of the Bollinger Bands.On the 4-hour chart, the price is consolidating just below the 20-period moving average, and on the daily chart, price action has remained at the same level since the start of this month. We will be watching to see if any distinctive price movements emerge during today’s U.S. trading session.

Today’s economic indicators include the New Zealand Producer Price Index at 7:45, the UK Rightmove House Price Index at 8:01, the Japan Tertiary Industry Activity Index at 13:30, the Eurozone Consumer Price Index at 18:00, and at 21:30, remarks by Bostic:Atlanta Fed President Bostic’s remarks at 21:30, U.S. Jefferson Fed Vice Chair’s remarks at 21:45, U.S. Leading Economic Index at 23:00, and Swiss SNB Governor Schlegel’s remarks at 25:30.I intend to carefully monitor the back-and-forth price movements in the GBP/USD pair.

桜井 慶介

Author: Keisuke Sakurai

He has over 10 years of experience in FX trading. In the financial sector, he has been involved in investment management focused primarily on foreign exchange markets and has experience as an asset management advisor. Drawing on his extensive experience, he specializes in technical and fundamental analysis.

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