EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts – U.S. Dollar Gains Ground As Durable Goods Orders Beat Expectations

Vladimir Zernov
Published: Apr 24, 2024, 16:25 GMT+00:00

Key Points:

  • EUR/USD settled below 1.0700 despite the encouraging Ifo Business Climate report from Germany.
  • USD/CAD climbed above the 1.3700 level as oil markets pulled back.
  • USD/JPY tested new highs above the important 155.00 level.

In this article:

U.S. Dollar

DXY 240424 4h Chart

U.S. Dollar Index gains ground as traders react to the Durable Goods Orders report. The report indicated that Durable Goods Orders increased by 2.6% month-over-month in March, compared to analyst consensus of 2.5%.

If U.S. Dollar Index settles back above the 106.00 level, it will head towards the recent highs near the 106.50 level.


EUR/USD 240424 4h Chart

EUR/USD is losing ground despite the better-than-expected Ifo Business Climate report from Germany. The report indicated that Business Climate improved from 87.9 in March to 89.4 in April, compared to analyst consensus of 88.9.

EUR/USD did not manage to climb above the resistance at 1.0700 – 1.0720 and made an attempt to settle below 1.0680. In case EUR/USD declines below 1.0680, it will head towards the 50 MA at 1.0653.


GBP/USD 240424 4h Chart

GBP/USD remains stuck near the resistance at 1.2425 – 1.2450 as traders focus on rising Treasury yields.

If GBP/USD pulls back below 1.2425, it will move towards the next support level, which is located in the 1.2310 – 1.2335 range.


USD/CAD 240424 4h Chart

USD/CAD is moving higher as traders focus on the pullback in the oil markets. Precious metals are also moving lower, which is bearish for commodity-related currencies.

In case USD/CAD settles above the 50 MA at 1.3751, it will move towards the nearest resistance level at 1.3780 – 1.3800.


USD/JPY 240424 4h Chart

USD/JPY has finally managed to climb above the psychologically important 155.00 level. This is a major achievement for the bulls as USD/JPY has previously visited such levels back in 1990!

At this point, the key question is whether BoJ is ready to defend the 155.00 level. There are no signs of interventions from the central bank, but USD/JPY is moving slowly as bulls are worried that BoJ may decide to intervene. Fundamentally, the yen remains weak, and rising Treasury yields put additional pressure on the Japanese currency.

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

About the Author

Vladimir is an independent trader and analyst with over 10 years of experience in the financial markets. He is a specialist in stocks, futures, Forex, indices, and commodities areas using long-term positional trading and swing trading.

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