Market Watchers May Be Waiting to See How Far the Pound-Dollar Pair Can Rebound After Its Up-and-Down Movement
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 dropped from 156.161 to 154.943, falling along the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the price fell 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 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. After climbing along the 20-period moving average (MA) on the hourly chart, it plummeted. On the 4-hour chart, a sharp decline followed a touch of the +3σ Bollinger Band, 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-day moving average.
Today’s economic indicators include Japan’s industrial production at 1:30 p.m., UK industrial production, UK manufacturing output, UK GDP, and UK goods trade balance at 4:00 p.m., Germany’s consumer price index at 4:00 p.m., France’s consumer price index at 4:45 p.m., and U.S. Paulson:Remarks by Paulson, President of the Federal Reserve Bank of Philadelphia; at 22:30, Canadian Wholesale Sales, Canadian Building Permits, and Canadian Q3 Capacity Utilization; U.S. remarks by Hammack, President of the Federal Reserve Bank of Cleveland; and at 24:35, U.S. remarks by Goolsbee, President of the Federal Reserve Bank of Chicago. I intend to wait and see how much room for recovery remains in the GBP/USD pair, which has been trading in a range.
Author: Keisuke Sakurai
