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Should We Keep an Eye on the Swiss Franc’s Upside Potential Following Its Rebound?

Market Report

Should We Keep an Eye on the Swiss Franc’s Upside Potential Following Its Rebound?

Today's Highlights
  1. U.S. Import Price Index
  2. UK RICS House Price Index

In U.S. currency trading yesterday, the Canadian dollar fell against the yen. The CAD/JPY pair dropped from 114.749 to 113.913. On the hourly chart, the price moved from above the 20-period moving average (MA) to below it.On the 4-hour chart, the candlesticks have fallen to just short of the 75-period moving average, and on the daily chart, the pair has pulled back after hitting a new year-to-date high. Since the pair has shown signs of a rebound during today’s Asian trading session, we will be watching closely to see if the Canadian dollar regains momentum during U.S. trading hours.

Among European currencies, the Swiss franc rose against the U.S. dollar. The USD/CHF pair fell from 0.8027 to 0.7983.On the hourly chart, the price has moved from above the 20-period moving average (MA) to below it. On the 4-hour chart, the price has fallen from the +2σ Bollinger Band to the centerline, and on the daily chart, it has temporarily dipped below the 20-period MA. Note that the Swiss franc has weakened again during today’s Asian trading session, so we should keep a close eye on price movements during European trading hours.

Today, at 8:50, Japan’s Domestic Corporate Price Index; at 9:01, the UK’s RICS House Price Index; at 16:00, the UK’s Monthly GDP, Industrial Production, Manufacturing Output, and Trade Balance, as well as Germany’s Wholesale Price Index; and at 19:00, the Eurozone’sIndustrial Production, and the Eurozone Trade Balance; at 22:30, the U.S. Import Price Index, U.S. Export Price Index, U.S. Initial Jobless Claims, Canadian Manufacturing Sales, U.S. New York Fed Manufacturing Index, and U.S. Philadelphia Fed Business Outlook Index; at 22:35, remarks by U.S. Federal Reserve Board Member Bostic:Remarks by Atlanta Fed President Bostic; at 23:15, U.S. – Remarks by Fed Governor Barr; and at 24:30, U.S. – Weekly Natural Gas Inventories are scheduled. We will be watching for further upside potential in the Swiss franc, which has rebounded and risen.

桜井 慶介

Author: Keisuke Sakurai

He has over 10 years of experience in FX trading. In the financial sector, he has been involved in investment management focused primarily on foreign exchange markets and has experience as an asset management advisor. Drawing on his extensive experience, he specializes in technical and fundamental analysis.

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