U.S. Dollar Moves Higher At The Start Of The Week: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Index Tests Resistance At 108.30 – 108.50

U.S. Dollar Index gains some ground as traders react to Donald Trump’s decision to impose 25% tariffs on all U.S. imports of aluminum and steel.

In case U.S. Dollar Index manages to settle above the resistance at 108.30 – 108.50, it will head towards the next resistance level, which is located in the 109.20 – 109.40 range.

EUR/USD Settled Near 1.0300

EUR/USD is moving lower as traders stay focused on tariff threat. Tariffs may put significant pressure on the weak European economy, which is bearish for the euro.

If EUR/USD settles below the 1.0300 level, it will move towards the next support level, which is located in the 1.0200 – 1.0215 range.

GBP/USD Pulled Back Towards 1.2370

GBP/USD continues its attempts to settle below the nearest support level at 1.2355 – 1.2370 amid lack of strong catalysts. There are no important economic reports scheduled to be released in the UK today, so traders will remain focused on general market sentiment.

A move below the 1.2355 level will push GBP/USD towards the next support level at 1.2250 – 1.2265.

USD/CAD Remains Stuck Near The Resistance At 1.4330 – 1.4350

USD/CAD gained some ground despite the rally in commodity markets. Other commodity-related currencies were mixed in today’s trading session.

The technical picture remains unchanged as USD/CAD needs to settle above the resistance at 1.4330 – 1.4350 to have a chance to gain upside momentum in the near term.

USD/JPY Tests Support At 151.50 – 152.00

USD/JPY is stuck near the support level at 151.50 – 152.00 as Japan’s government bonds test new highs. Hawkish comments from BoJ member boosted yields, which was bullish for the Japanese yen.

A successful test of the support at 151.50 – 152.00 will open the way to the test of the next support level at 148.50 – 149.00.

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