Should We Keep an Eye on the Euro’s Upside Potential Against the Yen?
15.10.2025
- Japan: Industrial Production
- U.S. New York Fed Manufacturing Index
In the U.S. currency market yesterday, the Canadian dollar fell against the yen after Canada’s August housing starts, released yesterday, worsened to -1.2% from -0.1% the previous month. The CAD/JPY pair fell from 108.715 to 107.908.The price fell from the 20-period moving average (MA) on the hourly chart to just below the 200-period simple moving average (SMA). On the 4-hour chart, a downtrend is developing along the 20-period MA, while on the daily chart, the price is retracing from the +3σ level of the Bollinger Bands back toward the centerline.
European currencies saw the euro rise against the yen after Germany’s October ZEW Economic Sentiment Index, released yesterday, improved to 39.3 from 37.3 the previous month. The euro/yen pair rose from 175.346 to 176.448.Price action remained within the range of the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, while the 20-MA is capping the upside, the 75-MA is providing support on the downside; on the daily chart, the 10-MA is acting as a support level, and the pair is currently rebounding from it.
Today’s schedule includes the Australian Westpac Leading Index at 8:30, Japan’s Industrial Production at 13:30, remarks by BOE Deputy Governor Ramsden at 17:00, and at 18:00, the Eurozone’sIndustrial Production, at 8:00 PM the MBA Mortgage Applications, at 8:00 PM South Africa’s Retail Sales, at 9:30 PM Canada’s Manufacturing Sales and Wholesale Sales, and the U.S. New York Fed Manufacturing Index,22:30: U.S. remarks by Fed Governor Milan; 24:45: UK remarks by BOE Deputy Governor Breeden; 26:00: U.S. remarks by Fed Governor Waller; 27:00: U.S. Federal Reserve Beige Book.We will be watching for further upside potential in the euro, which has risen against the yen.
Author: Keisuke Sakurai
