currencies

US Dollar Rallies Against Peso in This Seasonal Window

USD/MXN: Seasonal Strength Aligns With Macro Drivers

The USD/MXN currency pair typically strengthens between April 16 and April 27, showing gains in 73.33% of the past 15 years. This 10-day window has delivered an average move of +0.83% and an impressive annualised return of over 31%. With macro drivers such as geopolitical risks and tariff concerns rising, historical patterns may align with current sentiment. A strong technical support zone near 20.00 adds further clarity for trade setups.

CPI and what it means for the YEN

US CPI Ahead: Will USD/JPY Buck the Seasonal Weakness?

The USD/JPY pair has shown a seasonal tendency to weaken on days when US CPI is released, especially after soft inflation surprises. A historical average return of -0.14% on CPI day reflects the market’s sensitivity to disinflation. With the next release set for April 10, traders are watching closely. A lower-than-expected print could reinforce bets on Fed rate cuts and push the yen higher.

USD/CAD set to fall this April due to tariff pressures

Can US Tariff News End Up Tipping The USD/CAD Lower This April?

April has historically been a weak month for USD/CAD, with an average decline of -1.31% and gains in only 31.58% of cases. This seasonal trend could align with upcoming US tariff announcements, which may create volatility in the pair. If tariffs avoid major disruption to Canada and oil prices rise, CAD could strengthen further. However, strong US economic data or harsher-than-expected tariffs could challenge this pattern.

Will USD/JPY Follow Its Post-Fed Bearish Pattern?

Will the Fed Meeting Provide a Lifeline for USD/JPY?

The upcoming Fed meeting could weigh on USD/JPY, with historical data showing a bearish bias post-FOMC decisions. An average decline of -0.07% and a 48.75% win rate suggest downside risks, especially if the Fed signals more rate cuts. A dovish stance may push USD/JPY lower, while a hawkish surprise could provide support. Key technical levels, like the 147.50 support zone, will be crucial for traders.

EURUSD Seasonal Trend

Room for More EUR/USD Upside?

EUR/USD has a strong seasonal track record from March 10 to March 17, with gains 75% of the time with an annualized return of +32.26%. Yield spreads and fiscal policies could further support the euro’s strength, while technical signals point to a potential breakout. However, key risks such as US inflation data and Fed policy shifts could introduce volatility.