U.S. Dollar Rebounds As CB Consumer Confidence Beats Estimates: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests New Highs As Traders Focus On Economic Reports

U.S. Dollar Index gains ground as traders react to the better-than-expected CB Consumer Confidence report. The report showed that CB Consumer Confidence improved from 85.7 (revised from 86.0) in April to 98.0 in May, compared to analyst forecast of 87.

In case U.S. Dollar Index climbs above the 50 MA at 99.84, it will move towards the resistance level at 100.20 – 100.40.

EUR/USD Pulls Back As Germany’s Consumer Confidence Misses Estimates

EUR/USD pulled back as traders reacted to the weak GfK Consumer Confidence report from Germany. The report showed that Consumer Confidence increased from -20.8 (revised from -20.6) to -19.9, compared to analyst consensus of -19.

If EUR/USD settles below the 1.1330 level, it will head towards the nearest support level, which is located in the 1.1275 – 1.1290 range.

GBP/USD Tests The 1.3500 Level

GBP/USD is losing ground as traders focus on U.S. economic reports and take profits after the recent rally.

A move below the 1.3500 level will open the way to the test of the support level at 1.3420 – 1.3440.

USD/CAD Moves Higher As Commodity Markets Retreat

USD/CAD continued to rebound amid broad pullback in commodity markets. Other commodity-related currencies have also found themselves under pressure in today’s trading session.

The nearest resistance level for USD/CAD is located in the 1.3800 – 1.3820 range. If USD/CAD climbs above 1.3820, it will head towards the 50 MA at 1.3870.

USD/JPY Rallies As Traders Bet On A Rebound

USD/JPY climbed above the resistance at 143.50 – 144.00 and is trying to settle above the 144.50 level.

In case this attempt is successful, USD/JPY will head towards the 146.00 level. RSI is in the moderate territory, and there is plenty of room to gain momentum in the near term.

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