U.S. Dollar Moves Towards Yearly Highs: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests New Highs

U.S. Dollar Index tests new highs as traders focus on rising Treasury yields. Today, traders also had a chance to take a look at RCM/TIPP Economic Optimism Index report. The report showed that Economic Optimism increased from 46.9 in October to 53.2 in November, compared to analyst consensus of 47.3.

In case U.S. Dollar Index settles above the resistance at 106.00 – 106.15, it will move towards the next resistance level at 107.10 – 107.30.

EUR/USD Remains Under Strong Pressure

EUR/USD is losing ground as traders react to the Euro Area ZEW Economic Sentiment Index report. The report showed that Economic Sentiment declined from 20.1 in October to 12.5 in November, compared to analyst forecast of 20.5.

If EUR/USD declines below the 1.0600 level, it will move towards the next support at 1.0525 – 1.0540.

GBP/USD Tests New Lows As UK Unemployment Rate Exceeds Expectations

GBP/USD tests new lows as traders focus on the Unemployment Rate report. UK Unemployment Rate increased from 4% in August to 4.3% in September, compared to analyst forecast of 4.1%.

In case GBP/USD settles below the 1.2750 level, it will head towards the next support level at 1.2675 – 1.2700.

USD/CAD Remains Stuck Near The Key Resistance Level

USD/CAD remains stuck near the resistance at 1.3930 – 1.3950 despite the pullback in precious metals markets. Other commodity-related currencies are losing ground in today’s trading session.

A move above the 1.3950 level will push USD/CAD towards the psychologically important 1.4000 level.

USD/JPY Gains Ground As Treasury Yields Rise

USD/JPY is moving higher, supported by rising Treasury yields. There are no material positive catalysts for the Japanese yen, and traders stay focused on the ultra-dovish policy of the BoJ.

If USD/JPY stays above the 154.50 level, it will get to the test of the nearest resistance at 155.00 – 155.50.

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