Will the falling CAD/JPY pair recover? All eyes are on price movements during U.S. trading hours.

Will the falling CAD/JPY pair recover? All eyes are on price movements during U.S. trading hours.

08.08.2025

In yesterday’s U.S. currency markets, the Canadian dollar fell against the yen despite the fact that Canada’s July Ivey Purchasing Managers’ Index, released yesterday, improved to 55.8 from 53.3 the previous month. The CAD/JPY pair fell from 107.512 to 106.894.On the hourly chart, the price has moved from above the 20-period moving average (MA) to below it. On the 4-hour chart, the price is searching for direction just below a zone where short- and long-term MAs converge, while on the daily chart, it is currently attempting to break below the support line near the 200-period SMA.

European currencies saw the euro fluctuate against the yen after Germany’s June industrial production fell to -3.6% year-on-year, down from 1.0% the previous month.The EUR/JPY pair traded between 171.276 and 172.168, fluctuating entirely within the range of the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the pair is currently facing resistance at the +2σ level of the Bollinger Bands, while on the daily chart, it is hovering just below the 20-period MA, awaiting the next trend.

Today’s key economic indicators include the Japan Household Expenditure Survey at 8:30 a.m., the release of key opinions from the Bank of Japan’s Monetary Policy Meeting and the Balance of Payments data at 8:50 a.m., the Japan Economic Watchers Survey at 2:00 p.m., remarks by MPC member Pill at 8:15 p.m., the Canadian Employment Report at 9:30 p.m., and a scheduled speech by St. Louis Fed President Musalem at 11:20 p.m.St. Louis Fed President. We will be watching price movements during U.S. trading hours to see if the Canadian dollar/yen pair, which has been falling, will show signs of recovery.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed