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EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts – U.S. Dollar Pulls Back At The Start Of The Week

By:
Vladimir Zernov
Published: Apr 8, 2024, 16:17 GMT+00:00

Key Points:

  • EUR/USD rebounded towards 1.0850 as Germany's Industrial Production report exceeded analyst expectations.
  • GBP/USD made an attempt to settle back above the 1.2650 level.
  • USD/JPY gained some ground but remained stuck below the key 152.00 level.
EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts

In this article:

U.S. Dollar

DXY
DXY 080424 4h Chart

U.S. Dollar Index is losing some ground as traders react to Consumer Inflation Expectations report, which indicated that Consumer Inflation Expectations remained unchanged at 3% in March.

In case U.S. Dollar Index settles back below the 104.00 level, it will head towards the nearest support, which is located in the 103.50 – 103.75 range.

EUR/USD

EUR/USD
EUR/USD 080424 4h Chart

EUR/USD gained ground as traders focused on the better-than-expected Industrial Production report from Germany. The report showed that Germany’s Industrial Production increased by 2.1% month-over-month in February, compared to analyst consensus of +0.3%.

If EUR/USD settles above the 1.0850 level, it will head towards the next resistance level at 1.0900 – 1.0920.

GBP/USD

GBP/USD
GBP/USD 080424 4h Chart

GBP/USD is moving higher despite rising Treasury yields. Currently, GBP/USD is trying to settle above the nearest resistance at 1.2650 – 1.2685.

In case this attempt is successful, GBP/USD will gain additional upside momentum and head towards the next resistance at 1.2800 – 1.2825. RSI is in the moderate territory, and there is plenty of room to gain momentum in case the right catalysts emerge.

USD/CAD

USD/CAD
USD/CAD 080424 4h Chart

USD/CAD is mostly flat despite the pullback in the oil markets. The strong rally in palladium and platinum markets provided support to commodity-related currencies in today’s trading session.

USD/CAD may get some support near the 50 MA at 1.3560. A move below the 50 MA will open the way to the test of the support at 1.3480 – 1.3500.

USD/JPY

USD/JPY
USD/JPY 080424 4h Chart

USD/JPY moved closer to the 152.00 level but failed to gain strong upside momentum as traders remained worried about potential interventions from the BoJ.

The technical picture remains unchanged at USD/JPY is stuck below the key 152.00 level. It looks that USD/JPY is ready to test this important level despite intervention fears.

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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