Should we keep a close eye on the euro’s upside potential now that it has become the strongest currency in U.S. time?

Should we keep a close eye on the euro’s upside potential now that it has become the strongest currency in U.S. time?

18.08.2025

In the U.S. currency markets last weekend, the U.S. dollar was at its weakest from late Asian trading hours through late U.S. trading hours. The EUR/USD pair traded between 1.1642 and 1.1714. An uptrend has emerged along the 10-period moving average (MA) on the hourly chart. On the 4-hour chart, the 200-period exponential moving average (EMA) is acting as a support level, leading to a rebound, while on the daily chart, prices are rising as they find support at the 20-period MA.

Among European currencies, the euro was the strongest from European trading hours through the late U.S. session.The EUR/JPY rose from 171.501 to 172.371. On the hourly chart, the price moved from the -2σ to the +2σ Bollinger Band. On the 4-hour chart, the 200 SMA is acting as a support level, and the pair is rebounding. On the weekly chart, the price has risen after touching the 10 MA, and the price continues to move along the +2σ Bollinger Band.

Today’s economic indicators include the UK Rightmove House Price Index at 8:01 a.m., Japan’s Tertiary Industry Activity Index at 1:30 p.m., the Eurozone Trade Balance at 6:00 p.m., Canada’s Housing Starts at 9:15 p.m., Canada’s International Securities Turnover at 9:30 p.m., and the U.S. NAHB Housing Market Index at 11:00 p.m. We will be closely monitoring the euro’s upside potential, which has reached its peak in U.S. trading hours.

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