With the euro facing resistance at higher levels, investors should watch for downside potential

With the euro facing resistance at higher levels, investors should watch for downside potential

19.02.2026

In yesterday’s U.S. currency trading, the Canadian dollar rose against the yen. The CAD/JPY pair climbed from 112.222 to 113.062. An uptrend has formed along the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, the pair surged from the -2σ to the +2σ levels of the Bollinger Bands. On the daily chart, the 75-period MA is acting as a support level, and prices have rebounded. The rebound has continued into today’s Asian session, with prices already surpassing yesterday’s high.

Among European currencies, the euro fell against the U.S. dollar. The EUR/USD pair dropped from 1.1857 to 1.1781. 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 candlesticks have fallen to just below the 200-period simple moving average (SMA), and on the daily chart, the price has broken below the 20-period MA—which had previously provided support—and is now returning to this month’s low.

Today’s schedule includes: 9:30 AM Australian employment data, 4:00 PM Swiss trade balance, 6:00 PM ECB Monthly Report, 8:00 PM UK CBI Business Survey, 10:20 PM remarks by Bostic, President of the Atlanta Fed, 10:30 PM Canadian trade balance, U.S. initial jobless claims, and U.S. trade balance,U.S. Philadelphia Fed Business Outlook Index, U.S. Wholesale Inventories, remarks by U.S. Federal Reserve Vice Chair Bowman, remarks by U.S. Minneapolis Fed President Kashkari at 11:00 PM, U.S. Leading Economic Index and U.S. Pending Home Sales at 12:00 AM, and U.S. 30-year inflation-indexed bonds at 3:00 AM.With the euro facing resistance on the upside, we should watch for downside potential.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed