Currency Strength Report for Today

Currency Strength Report for Today

Today’s 5-Minute Chart

Today’s currency market has been heavily influenced by President Trump’s decisions on trade tariffs. The delay of tariffs on Canada and Mexico has weakened the USD, while the implementation of tariffs on China has added to market uncertainty. Under these circumstances, analyzing the strength of major currencies and developing investment strategies for the European and American markets are essential.

Currency Strength Analysis

Based on the attached currency strength chart, the following trends are observed:

  • USD (US Dollar): The USD has weakened due to the tariff delay on Canada and Mexico and additional pressure from the tariff implementation on China.
  • JPY (Japanese Yen): The yen has shown moderate strength as a safe-haven asset amid risk-averse sentiment, but its gains remain limited.
  • EUR (Euro): The euro remains relatively stable and strong, supported by consistent European economic indicators.
  • AUD (Australian Dollar): The AUD is weaker, reflecting its high dependency on the Chinese economy and the adverse effects of the tariff policies.
  • CHF (Swiss Franc): The Swiss franc is gaining strength as a safe-haven currency amid ongoing market uncertainties.

Overall, risk-averse sentiment is driving some of the market movements, favoring safe-haven currencies.

Investment Judgment

Market Trends

  • European Market: The euro is expected to remain stable, with risk-averse flows continuing in parts of the market.
  • American Market: USD weakness is likely to persist, but any progress in U.S.-China trade negotiations could trigger a temporary dollar rebound.

Recommended Investment Horizon

Short- to medium-term trades are recommended. In the current uncertain environment, focusing on short-term trends and maintaining flexibility is more effective than long-term investments.

Advice for Beginners

For beginners, it is advisable to focus on safe-haven currencies such as the Japanese yen and Swiss franc. These currencies are likely to benefit from risk-averse movements in the short term. Additionally, the euro’s stable performance makes it a viable option for investments in the European market.

Conversely, the USD and AUD are highly reactive to news events, so a cautious approach is necessary. Start with small trades, observe chart movements, and gradually gain experience. By managing risks and taking small steps, you can build confidence in your trading journey.

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