Will the market wait and see how much the pound can recover?

Will the market wait and see how much the pound can recover?

09.06.2025

Last weekend, the Canadian dollar fell against the U.S. dollar following the release of Canada’s May employment report on the 6th, which showed the unemployment rate had worsened to 7.0% from 6.9% the previous month. The USD/CAD pair rose from 1.3660 to 1.3704, with the rally tracking the 20-period moving average on the hourly chart.On the 4-hour chart, a rebound from the -2σ Bollinger Band was observed, and the daily chart is showing a similar price movement to the 4-hour chart.

Among European currencies, the pound fell against the U.S. dollar. The GBP/USD pair dropped from 1.3584 to 1.3508.The price declined while facing resistance at the 20-period moving average on the hourly chart. On the 4-hour chart, the candlesticks fell from the +3σ to the -2σ levels of the Bollinger Bands. On the daily chart, the price has been trading with support just below the 10-period moving average for approximately 10 trading days. Additionally, on the daily chart, the candlesticks are showing divergence with the RSI.

Today’s economic calendar includes New Zealand’s first-quarter manufacturing activity at 7:45 a.m., Japan’s real GDP and balance of payments at 8:50 a.m., Japan’s Tankan survey at 2:00 p.m., and U.S. wholesale inventories at 11:00 p.m. No other major economic releases or key speeches are scheduled. We will be watching closely to see if the pound can rebound during European trading hours and whether there is room for recovery after its recent decline.