U.S. Dollar Continues To Rebound From Multi-Month Lows: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Rebounds As Traders Focus On Economic Reports

U.S. Dollar Index gains ground as traders react to Initial Jobless Claims report. The report showed that 223,000 Americans filed for unemployment benefits in a week, compared to analyst forecast of 224,000.

The nearest resistance level for U.S. Dollar Index is located in the 104.30 – 104.50 range. A move above the 104.50 level will push U.S. Dollar Index towards the next resistance at 105.50 – 105.70.

EUR/USD Retreats As Germany’s PPI Falls Short Of Expectations

EUR/USD pulls back as traders focus on Producer Prices data from Germany. PPI increased by +0.7% month-over-month in February, compared to analyst forecast of +1%.

If EUR/USD stays below the 1.0850 level, it will move towards the support level at 1.0760 – 1.0775.

GBP/USD Pulls Back As BoE Leaves Rates Unchanged

GBP/USD is losing ground as traders react to BoE Interest Rate Decision. The Bank of England left the interest rate unchanged at 4.5%, in line with analyst estimates. One member voted for a cut, compared to analyst consensus of 2, so the meeting was more hawkish than analysts expected. However, the BoE decision did not provide support to the pound.

In case GBP/USD manages to settle below the support at 1.2935 – 1.2950, it will head towards the next support level at 1.2810 – 1.2830.

USD/CAD Attempts To Settle Below 1.4330

USD/CAD made an attempt to settle above the 50 MA at 1.4371 but lost momentum and pulled back below the resistance at 1.4330 – 1.4350.

A move below the 1.4300 level will push USD/CAD towards the recent lows near 1.4260.

USD/JPY Tests Resistance At 149.00 – 149.50

USD/JPY gains some ground despite the pullback in Treasury yields. Traders focus on general strength of the American currency.

A successful test of the resistance at 149.00 – 149.50 will push USD/JPY towards the next resistance level at 152.00 – 152.50.

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