Foreign Exchange Market Update: April 24, 2025
Market Overview
Today’s foreign exchange market displayed mixed performance as the U.S. dollar paused its recent rebound, trading near ¥143.25 against the yen and edging lower versus the euro at $1.1338 .
The pound stabilized at $1.3263 per dollar , while the Swiss franc held around 0.8290 amid broad risk sentiment .
Trade tensions resurfaced as the IMF cautioned over global disputes that could destabilize growth , fueling safe-haven flows into the yen and franc .
Fundamentals for EUR/USD remain under pressure as the ECB signals potential rate cuts amid subdued inflation, with the services PMI dropping to 49.7 in April .
U.S. Dollar (USD) Analysis
The dollar’s short-term downside risk persists after ING analysts highlighted further pressure if trade talks stall .
Technical outlook for USD/JPY indicates bearish momentum, with a pivot at 143.88 and potential reversal toward support at 142.00 if current levels fail .
USD/CHF technicals also lean bearish, trading below the 0.8373 pivot and eyeing support at 0.8300 amid persistent selling pressure .
Euro (EUR) Analysis
EUR/USD pulled back toward 1.1300 amid profit-taking and a stronger greenback, with initial support at 1.1245 and key levels at 1.1180 and 1.1090 .
Macro risks include dovish ECB commentary and slowing Eurozone PMI, which may cap further euro strength .
Pound Sterling (GBP) Analysis
GBP/USD retraced from six-month highs at 1.3490 to test support at 1.3233, remaining in a bullish channel but vulnerable to U.S. data releases .
GBP/USD support range of 1.3285–1.3315 remains critical, with a break below opening the door to further losses toward 1.3239 .
Traders will watch U.S. jobless claims and durable goods orders due today for directional cues .
Japanese Yen (JPY) Analysis
The yen maintained safe-haven demand, trading near 143.25 per dollar as global risk aversion persisted .
USD/JPY forecast remains bearish as hopes for a U.S.-China de-escalation fade .
Fundamental analysis highlights the yen’s bullish bias amid renewed uncertainty .
Key Market Drivers
IMF warnings on trade disputes continue to drive FX volatility as investors weigh geopolitical risks .
Mixed signals from the U.S. administration on Fed leadership and tariffs have added uncertainty around Federal Reserve policy and dollar outlook .
Technical Trends & Volatility
Technical indicators such as RSI and MACD for major pairs suggest traders should prepare for intermittent volatility, with potential pullbacks to pivot points before resuming trends .
Volume analysis shows heightened interbank activity, particularly in EUR/USD and GBP/USD, reflecting increased speculative flows .
Conclusion
Today’s forex market movement underscores the impact of trade developments, central bank signals, and technical setups. Traders should combine economic releases, chart patterns, and risk-management strategies to navigate this dynamic environment.
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