Should We Wait and See How Far the Euro Will Rise After Gaining Ground Against the Japanese Yen?
22.07.2025
- Richmond Fed Manufacturing Index (U.S.)
- UK Public Sector Net Debt
In yesterday’s U.S. currency trading, the U.S. dollar fell against the euro. The EUR/USD pair rose from 1.1614 to 1.1713. It moved from below the 20-period moving average (MA) on the hourly chart to above it.On the 4-hour chart, the price has extended to the +3σ level of the Bollinger Bands, and on the daily chart, the price has broken above the 20-period moving average—which had previously acted as resistance—with a real body candle. We will be watching for signs of whether the US dollar’s weakness will continue during today’s European trading session.
Among European currencies, the euro showed strength, second only to the Japanese yen. The EUR/AUD pair rose from 1.7835 to 1.7929, with the rally tracking the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the price has extended to the +2σ level of the Bollinger Bands, and on the daily chart, it has been rising for four consecutive days above the 20-period moving average. We will be closely monitoring whether the euro maintains its momentum during today’s U.S. trading session.
Today’s economic indicators include the release of the RBA minutes at 10:30, UK public sector net debt at 15:00,a speech by Bank of England Governor Bailey at 18:15, a speech by Federal Reserve Chair Powell at 21:30, the Richmond Fed Manufacturing Index at 23:00, and a speech by Federal Reserve Vice Chair Bowman at 26:00.We will cautiously monitor the upside potential of the euro, which has been strengthening following the Japanese yen.
Author: Keisuke Sakurai
