Will the U.S. dollar, which has been weakening against the yen, fall further? Market participants will be closely watching price movements during U.S. trading hours.

Will the U.S. dollar, which has been weakening against the yen, fall further? Market participants will be closely watching price movements during U.S. trading hours.

05.12.2025

In the previous day's U.S. currency trading, the U.S. dollar fell against the yen. The USD/JPY pair dropped from 155.542 to 154.513. On the hourly chart, the price moved from above the 20-period moving average (MA) to below it.On the 4-hour chart, the price has fallen to the support line drawn at the 200-period simple moving average (SMA). On the daily chart, the price has already broken below the 20-period moving average (MA) support line, and the downward movement from the +3σ to the -2σ Bollinger Bands is gaining momentum.

Among European currencies, the euro fell against the yen.The euro/yen pair fell from 181.288 to 180.391. The price broke below the 200-period simple moving average (SMA) support line on the hourly chart. On the 4-hour chart, the price has pulled back from the +2σ Bollinger Band, and on the daily chart, a divergence has emerged between the RSI and the candlesticks. Furthermore, as the price has continued to test lower levels during today’s Asian session, we should watch for further weakness in the euro during the European session.

Today’s economic indicators include the Japan Household Expenditure Survey at 8:30 a.m., the Japan Economic Sentiment Index at 2:00 p.m., German Manufacturing New Orders and UK Halifax House Price Index at 4:00 p.m., and at 4:45 p.m., France’sIndustrial Production, France’s Manufacturing Production Index, and France’s Trade Balance; at 19:00, Eurozone Real GDP; at 22:30, Canada’s Employment Statistics; at 24:00, the U.S. University of Michigan Consumer Sentiment Index, U.S. Personal Income, and U.S. PCE Deflator; and at 29:00, U.S. Consumer Credit.We will be closely monitoring price movements during U.S. trading hours to see if the U.S. dollar, which has been weakening against the yen, will extend its decline.