All eyes are on whether the consolidation in the GBP/JPY pair near its recent high will signal a clear direction

All eyes are on whether the consolidation in the GBP/JPY pair near its recent high will signal a clear direction

19.08.2025

In the previous day's U.S. currency trading, the U.S. dollar rose against the euro.The EUR/USD pair fell from 1.1715 to 1.1656. On the hourly chart, the price has moved from above the 20-period moving average (MA) to below it. On the 4-hour chart, prices have declined after failing to break through last week’s high, and on the daily chart, the price is barely finding support at the 20-period MA. However, on the weekly chart, the price has not yet broken below the 10-period MA support line, so we should keep an eye on price movements heading into the latter half of the week.

Among European currencies, the pound rose against the yen. The GBP/JPY pair traded between 199.392 and 200.256. It rose as the 20-period moving average (MA) on the hourly chart acted as a support level. On the 4-hour chart, price action has been lackluster, fluctuating around the 20-period MA. On the daily chart, the pair is currently attempting to reach new highs near its year-to-date high, supported by the 10-period MA on the downside.

Today’s economic indicators include a Japanese 20-year government bond auction (time TBD), New Zealand’s Producer Price Index at 7:45, Australia’s Westpac Consumer Confidence Index at 9:30, the Eurozone’s Current Account Balance at 17:00,at 9:30 PM, the U.S. Housing Starts and the Canadian Consumer Price Index, and at 11:10 PM, remarks by U.S. Federal Reserve Vice Chair Bowman. We will be watching closely to see if the GBP/JPY pair, which has been trading sideways near its year-to-date highs, will finally show a clear direction.

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