Should we watch for further gains in the euro against the dollar?
26.05.2025
- Japan Economic Sentiment Index
- Markets in the UK and the US are closed for a holiday
Last weekend, the Canadian dollar fluctuated against the yen as Canada’s March retail sales, released on the 23rd, rebounded from a 0.4% decline to a 0.8% increase. The CAD/JPY pair traded between 102.998 and 103.943, with price action straddling the 20-period moving average on the hourly chart.On the 4-hour chart, the pair remains range-bound within a cluster of short- and long-term moving averages, while on the daily chart, it is currently searching for direction below the 20-day moving average.
European currencies rose as the euro gained against the U.S. dollar following Friday’s release of Germany’s first-quarter real GDP, which improved from a year-on-year decline of 0.2% to 0.0%.The EUR/USD pair rose from 1.1276 to 1.1375. It moved from below the 20-period moving average (MA) on the hourly chart to above it. On the 4-hour chart, the price rebounded after touching the 20-period MA, and on the daily chart, the RSI has recovered to 60.
Today’s key events include the release of Japan’s Economic Sentiment Index at 2:00 PM, remarks by German Bundesbank President Nagel at 10:30 PM, and remarks by ECB President Lagarde at 11:30 PM. Please note that markets in the U.S. and the U.K. will be closed today due to public holidays. I intend to closely monitor the situation to see if the euro/dollar pair, which has been rising, will continue its upward trend.
Author: Keisuke Sakurai
