Forex Daily Forecast, Analysis and Prediction

The USD/JPY displayed a significant rally during Tuesday's trading session, breaching the 142 yen level and signaling renewed vitality.

The GBP/USD exchange rate retreated to its lowest level since December 25th as American and British bond yields bounced back.

The EUR/USD exchange rate dropped as the US dollar index and bond yields bounced back.

The BTC/USD pair continued its uptrend this week even as US bond yields bounced back.

Dollar advance seems to be running out of momentum.

Relative stability is seen in the early trading of 2024, and the EUR/USD pair is likely to receive signals from the primary catalysts in the United States during this week.

The British pound (GBP) against the US dollar (USD) exchange rate saw volatility last week, with a sharp rise on Wednesday towards the resistance of 1.2828, the highest for the pair in five months, before falling on Thursday to the support level of 1.2700.

The Japanese yen ended 2023 trading on a high as selling pressure on the US dollar index (DXY) gained strength.

The continued pressure on the US dollar due to expectations that the US Federal Reserve will cut interest rates in 2024 is helping bulls maintain the recent record-breaking pace of gains.

The dollar pair rose against the Turkish lira during early trading on Tuesday, as the Turkish currency continued its losses against the dollar, which have continued at a strong pace since the second half of last month.

The USD/MXN has looked comfortable trading within the lower realms of its price range, but holiday trading the past week makes the values rather suspicious, yet still alluring.

The USD/ZAR remains within sight of its lows created the past couple of weeks, this as thin volume has affected trading conditions.

The EUR/USD price pulled back at the start of the new year as traders started coming back to the market after the Christmas holiday.

Bitcoin price made a bullish breakout on Tuesday as volume started rising after falling sharply in the final week of the year.

Action likely to be choppy today as new year begins.