U.S. Dollar Pulls Back: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Is Losing Ground After Retail Sales Report

U.S. Dollar Index is losing some ground as traders react to the Retail Sales report. The report indicated that Retail Sales increased by 0.4% month-over-month in October, compared to analyst forecast of +0.3%.

If U.S. Dollar Index pulls back below the 106.50 level, it will head towards the nearest support at 106.00 – 106.15.

EUR/USD Tests Support At 1.0525 – 1.0540

EUR/USD continues its attempts to settle below the support at 1.0525 – 1.0540 as traders focus on Germany’s Wholesale Prices report. The report showed that Wholesale Prices increased by 0.4% month-over-month in October, compared to analyst forecast of +0.1%.

A successful test of the support at 1.0525 – 1.0540 will push EUR/USD towards the next support level, which is located in the 1.0435 – 1.0450 range.

GBP/USD Moves Lower As UK GDP Report Misses Expectations

GBP/USD is losing ground as traders react to the disappointing GDP report from the UK. The report showed that GDP declined by 0.1% month-over-month in September, compared to analyst forecast of +0.2%.

GBP/USD has recently settled below the previous support at 1.2675 – 1.2700 and is moving towards the next support level at 1.2575 – 1.2590. RSI is in the oversold territory, but there is enough room to gain additional downside momentum in the near term.

USD/CAD Tests New Highs

USD/CAD tested new highs as rally continued. Other commodity-related currencies have managed to gain some ground in today’s trading session.

Currently, USD/CAD is trying to settle above the resistance at 1.4100 – 1.4120. In case this attempt is successful, USD/CAD will move towards the next resistance level at 1.4230 – 1.4250.

USD/JPY Pulls Back As Japan GDP Report Exceeds Expectations

USD/JPY is losing ground as traders focus on the better-than-expected GDP report from Japan. The annualized GDP Growth was 0.9% in the third quarter, compared to analyst forecast of +0.7%.

In case USD/JPY settles below the support at 155.00 – 155.50, it will move towards the next support level at 153.00 – 153.50.

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