U.S. Dollar Is Mostly Flat After Inflation Data: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests Support At 103.20 – 103.40 As Inflation Rate Drops To 2.8%

U.S. Dollar Index was mostly flat as traders reacted to inflation data. Inflation Rate declined from 3% in January to 2.8% in February, compared to analyst forecast of 2.9%.

U.S. Dollar Index continues its attempts to settle below the support at 103.20 – 103.40. In case U.S. Dollar Index manages to settle below the 103.20 level, it will gain additional downside momentum and move towards the next support level at 102.00 – 102.20.

EUR/USD Remains Stuck Near Resistance At 1.0920 – 1.0935

EUR/USD is trying to settle above the nearest resistance level at 1.0920 – 1.0935 as traders react to U.S. inflation reports.

A successful test of the resistance at 1.0920 – 1.0935 will push EUR/USD towards the next resistance at 1.1030 – 1.1050.

GBP/USD Tests New Highs

GBP/USD tests new highs as traders stay bullish after the release of U.S. inflation data.

If GBP/USD stays above the 1.2950 level, it will move towards the next resistance level, which is located in the 1.3050 – 1.3070 range.

USD/CAD Moves Lower After BoC Decision

USD/CAD pulled back as traders reacted to BoC Interest Rate Decision. Canada’s central bank cut the rate from 3.00% to 2.75%, in line with analyst estimates.

The nearest support level for USD/CAD is located in the 1.4330 – 1.4350 range. If USD/CAD declines below the 1.4330 level, it will head towards the support level at 1.4180 – 1.4200.

USD/JPY Gains Ground As Treasury Yields Rise

USD/JPY moved higher amid rising Treasury yields. Currently, USD/JPY is trying to settle above the resistance at 149.00 – 149.50.

In case USD/JPY manages to settle above 149.50, it will head towards the next resistance at 152.00 – 152.50. RSI is in the moderate territory, and there is plenty of room to gain additional momentum in case the right catalysts emerge.

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