Market Participants May Be Watching to See How Much Room There Is for a Rebound in the Pound-Dollar Exchange Rate After Its Up-and-Down Moves
12.12.2025
- Japan: Industrial Production
- Yone-Hammack: Remarks by the President of the Cleveland Federal Reserve Bank
In yesterday’s U.S. currency trading, the U.S. dollar fell against the yen. The USD/JPY pair fell from 156.161 to 154.943, tracking the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, the price fell to just below the support line formed by the 200-period simple moving average (SMA), and on the daily chart, it temporarily broke below the 20-period moving average (MA), which had previously provided support. However, during today’s Asian trading session, the rebound has been limited to approximately 30 pips.
Among European currencies, the pound saw a seesaw movement against the U.S. dollar. The GBP/USD pair rose from 1.3354 to 1.3438. It surged along the 20-period moving average (MA) on the hourly chart before plummeting.On the 4-hour chart, a sharp decline occurred after the price touched the +3σ line of the Bollinger Bands, and on the daily chart, the pair is currently pulling back from levels not seen since October 20 of this year. On the weekly chart, the pair remains above the 20-period moving average.
Today’s economic indicators include Japan’s industrial production at 1:30 p.m., the UK’s industrial production, UK manufacturing output, UK GDP, and UK goods trade balance at 4:00 p.m., Germany’s consumer price index at 4:45 p.m., France’s consumer price index at 10:00 p.m., and U.S. remarks by Paulson:remarks by Paulson, President of the Philadelphia Fed; at 22:30, Canadian wholesale sales and housing construction permits;Canada: Q3 Capacity Utilization Rate, U.S.: Hammack, President of the Cleveland Fed, remarks; at 24:35, U.S.: Goolsbee, President of the Chicago Fed, remarks are scheduled. I would like to wait and see how much room for recovery there is in the GBP/USD pair, which has been trading in a range.
