Should we watch for the pound's potential to rebound after falling against the U.S. dollar?
09.10.2025
- Germany's Trade Balance
- Japan: Foreign and Domestic Securities Investment
In the previous day's U.S. currency trading, the U.S. dollar rose against the yen.The USD/JPY pair rose from 151.733 to 152.995. The uptrend along the 10-period moving average (MA) on the hourly chart continued. On the 4-hour chart, the price is trending upward along the 10-period MA, and the RSI has surged to 82. On the daily chart, the candlesticks have reached the +3σ level of the Bollinger Bands. Furthermore, since the decline during today’s Asian session has been limited to a mild correction, we should remain vigilant for a further rise in the US dollar during US trading hours.
Among European currencies, the pound fell against the U.S. dollar. The GBP/USD pair dropped from 1.3438 to 1.3371. 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 pair has pulled back after encountering resistance at the 200-period simple moving average (SMA), and on the daily chart, it appears to be entering a downtrend along the 20-period moving average (MA). Furthermore, on the weekly chart, the pair is on the verge of breaking below the 20-period MA support line, so traders should pay close attention to the direction of the market during European trading hours.
Today’s economic indicators include the UK RICS House Price Index at 8:01, Japan’s Foreign and Domestic Securities Investment at 8:50, Germany’s Trade Balance at 15:00, remarks by a member of the UK MPC at 17:30, South Africa’s Manufacturing Production at 20:00, and at 20:30, theECB Governing Council minutes, 21:30 US Fed Chair Powell’s remarks, 21:35 US Fed Vice Chair Bowman’s remarks, 25:45 US Fed Governor Barr’s remarks, 26:00 US 30-year Treasury auction, US Kashkari:President of the Minneapolis Fed, and at 02:45, remarks by U.S. Federal Reserve Vice Chair Bowman. We should watch for further downside potential in the pound, which has fallen against the U.S. dollar.
Author: Keisuke Sakurai
