Attention Turns to Upside Potential for the U.S. Dollar, Which Rallied on Strong U.S. Employment Data

Attention Turns to Upside Potential for the U.S. Dollar, Which Rallied on Strong U.S. Employment Data

21.11.2025

In the U.S. currency market yesterday, the U.S. dollar rose against the yen after the September U.S. employment report, released yesterday, showed that nonfarm payrolls came in at 119,000—higher than the market forecast of 55,000.The USD/JPY pair rose from 156.875 to 157.883, moving in line with the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the price continues to move along the +2σ line of the Bollinger Bands, while on the daily chart, the RSI has reached 75.

Among European currencies, the euro fell against the pound. The euro/pound exchange rate dropped from 0.8840 to 0.8795.On the hourly chart, the price has moved from above the 20-period moving average (MA) to below it. On the 4-hour chart, a pullback from the +2σ level of the Bollinger Bands is evident, while on the daily chart, the pair continues to trade in the upper price range just below the 10-period MA. Given that price action during today’s Asian session has also tested the downside, traders should pay close attention to the direction of the market during the European session.

Today’s schedule includes New Zealand’s trade balance at 6:45, Japan’s consumer price index at 8:30, Japan’s trade balance at 8:50, the UK’s GfK consumer confidence survey at 9:01, the UK’s net public sector debt and retail sales at 16:00,at 5:30 p.m., Germany’s Manufacturing/Non-Manufacturing PMI and remarks by ECB President Lagarde; at 6:00 p.m., the Eurozone’s Manufacturing/Services PMI; at 6:30 p.m., the UK’s Manufacturing/Services PMI; at 9:30 p.m., remarks by U.S. Federal Reserve Bank of New York President Williams:Speech by NY Fed President Williams, 21:40: Speech by SNB President Schlegel (Switzerland), 22:30: Canada Retail Sales, 23:45: PMI Purchasing Managers’ Index, and 24:00: University of Michigan Consumer Sentiment Index.We should keep an eye on the upside potential for the U.S. dollar, which rose on the back of strong U.S. employment data.