EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts – U.S. Dollar Pulls Back As Traders Focus On CB Consumer Confidence Data

U.S. Dollar

U.S. Dollar Index is losing some ground as traders react to CB Consumer Confidence report for August. The report showed that CB Consumer Confidence increased from 101.9 in July to 103.3 in August, compared to analyst consensus of 100.7. Today, traders also had a chance to take a look at Case-Shiller Home Price Index report, which indicated that home prices increased by 0.6% month-over-month in June.

If U.S. Dollar Index stays below the support at 100.80 – 101.00, it will move towards the next support level at 99.55 – 99.75.

EUR/USD

EUR/USD is mostly flat as traders focus on Germany’s economic data. GfK Consumer Confidence declined from -18.6 to -22.0, compared to analyst forecast of -18. GDP Growth Rate was -0.1% in the second quarter, in line with analyst estimates.

If EUR/USD manages to climb above the 1.1200 level, it will head towards the nearest resistance, which is located in the 1.1250 – 1.1275 range.

GBP/USD

GBP/USD tested new highs as the rally continued. Rising Treasury yields did not put any pressure on GBP/USD in today’s trading session.

Traders should note that RSI remains in the overbought territory, so the risks of a pullback are increasing.

USD/CAD

USD/CAD is moving lower despite the strong pullback in the oil markets. Other commodity-related currencies are also moving higher in today’s trading session.

If USD/CAD stays below the 1.3480 level, it will move towards the next support at 1.3360 – 1.3380.

USD/JPY

USD/JPY remains under pressure as traders bet on dovish Fed. The recent rebound in Treasury yields did not provide support to USD/JPY.

If USD/JPY settles below the 144.00 level, it will head towards the next support at 141.80 – 142.50. RSI is in the moderate territory, so there is plenty of room to gain downside momentum in the near term.

For a look at all of today’s economic events, check out our economic calendar.