EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts – U.S. Dollar Pulls Back From Session Highs

Key Insights

• EUR/USD settled above the 1.0700 level as traders focused on the pullback in Treasury yields. 
• USD/CAD moved towards 1.3800 as the sell-off in the oil markets continued amid demand worries. 
• USD/JPY made an attempt to settle above the 151.00 level as BoJ did not intervene to provide support to the Japanese currency. 

U.S. Dollar

U.S. Dollar Index is mostly flat as traders wait for additional catalysts. Fed Chair Jerome Powell, who delivered a speech today, did not talk about monetary policy.

In case U.S. Dollar Index settles above the resistance at 105.65 – 105.90, it will head towards the next resistance level, which is located in the 106.90 – 107.20 range.

EUR/USD

EUR/USD gains some ground as traders react to the final reading of Germany’s Inflation Rate report, which showed that Inflation Rate declined from 4.5% in September to 3.8% in October.

If EUR/USD stays above the 1.0700 level, it will head towards the nearest resistance at 1.0765 – 1.0790.

GBP/USD

GBP/USD moved back towards the 1.2300 level as traders focused on the pullback in Treasury yields.

A move above 1.2300 will open the way to the test of the next resistance level, which is located in the 1.2370 – 1.2400 range.

USD/CAD

USD/CAD gains ground as oil markets remain under pressure. WTI oil made an attempt to settle below the $76.00 level, while Brent oil pulled back towards $80.00.

RSI remains in the moderate territory, so USD/CAD has a decent chance to settle above the resistance at 1.3800 – 1.3830.

USD/JPY

USD/JPY moved towards the 151.00 level as BoJ did not intervene to provide support to the Japanese yen.

Potential interventions remain the only bullish catalyst for the yen as BoJ sticks to its ultra-dovish policy.

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