Will Market Participants Wait and See How Much Room the Swiss Franc Has to Recover After Weakening Following the Japanese Yen?
11.08.2025
- South Africa SACCI Business Sentiment Index
- Germany: Wholesale Price Index
Last weekend, the U.S. dollar rose against the yen. The USD/JPY pair climbed from 146.717 to 147.904, recovering from the -2σ to +2σ levels of the hourly Bollinger Bands.On the 4-hour chart, the 200-SMA is acting as a support level, and the pair has rebounded from there. On the daily chart, the pair is currently searching for direction just below the 20-MA. Since the pair is trading above the 20-MA on the weekly chart, we should carefully monitor price movements at the start of the week.
Among European currencies, the Swiss franc weakened slightly, following the Japanese yen. The USD/CHF pair rose from 0.8051 to 0.8088. It moved from below the 20-period moving average (MA) on the hourly chart to above it.On the 4-hour chart, the pair is finding support at the 200-period EMA while forming lower highs along the 20-period MA; on the daily chart, the price has been trading sideways at the same level for about a week.
Today’s economic indicators include the South African SACCI Business Confidence Index (time TBD), the German Wholesale Price Index, and South African Manufacturing Output at 8:00 p.m.No other major economic indicators or key speeches from European or U.S. officials are scheduled for today. Note that Japanese markets are closed today for the Mountain Day holiday. We will cautiously monitor the Swiss franc, which has weakened slightly after the Japanese yen, to see if there is room for recovery.
