Concerns Over Further Declines in the Euro Against the Pound?
13.01.2026
- U.S. New Home Sales
- U.S. – Williams: Remarks by the President of the New York Fed
In the U.S. currency market yesterday, the U.S. dollar rose against the yen. The USD/JPY pair rose from 157.515 to 158.198. It moved from below the 20-period moving average (MA) on the hourly chart to above it.On the 4-hour chart, an uptrend is developing along the 10-period moving average, and on the daily chart, the pair is extending its gains near the +2σ level of the Bollinger Bands. Notably, during today’s Asian trading session, the pair has already touched its year-to-date high of 158.985.
Among European currencies, the euro fell against the pound. The EUR/GBP pair dropped from 0.8692 to 0.8659. It pulled back after encountering resistance at the 200-period SMA on the hourly chart.On the 4-hour chart, the price has fallen from the +2σ to the -2σ levels of the Bollinger Bands, and on the daily chart, the 10-period MA is acting as resistance, with the price having fallen to near the 200-period EMA. Furthermore, during today’s Asian trading session, the price action has followed the pattern seen yesterday.
Today’s schedule includes remarks by Williams, President of the New York Fed, at 8:00; the Westpac Consumer Confidence Index from Australia at 8:30; Japan’s trade balance at 8:50;at 14:00, Japan’s Economic Watchers Survey; at 16:45, France’s Budget Balance; at 18:00, remarks by Bank of England Governor Bailey; at 20:00, the U.S. NFIB Small Business Optimism Index; at 22:30, Canada’s Housing Starts;U.S. Consumer Price Index at 22:30, U.S. New Home Sales at 24:00, remarks by U.S. St. Louis Fed President Musalem at 24:00, U.S. 30-Year Treasury Auction at 27:00, and U.S. Budget Balance at 28:00.We should remain cautious about the downside potential for the euro, which has fallen against the pound.
Author: Keisuke Sakurai
