EUR/USD, GBP/USD, USD/CAD, USD/JPY Forecasts – U.S. Dollar Rebounds From Yearly Lows

U.S. Dollar

U.S. Dollar Index gains ground as traders bet on a rebound after the strong pullback. At this point, it looks that this rebound is technical, as the yield of 2-year Treasuries continues to move lower.

In case U.S. Dollar Index stays above the 101.00 level, it will gain additional upside momentum and move towards the nearest resistance at 102.00 – 102.20.

EUR/USD

EUR/USD pulls back as traders continue to take profits after the strong rally. There are no important economic reports scheduled to be released in the EU today, so traders will stay focused on general market sentiment.

Currently, EUR/USD is trying to settle below the support at 1.1110 – 1.1135. In case this attempt is successful, EUR/USD will head towards the next support level, which is located in the 1.0980 – 1.1000 range.

GBP/USD

GBP/USD is moving lower as traders focus on general strength of the U.S. dollar. RSI is in the moderate territory, so there is plenty of room to gain additional downside momentum in case the right catalysts emerge.

If GBP/USD moves below the nearest support level at 1.3120 – 1.3140, it will head towards the next support at 1.3030 – 1.3045.

USD/CAD

USD/CAD gained some ground 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 1.3480 – 1.3500 range. A move above the 1.3500 level will push USD/CAD towards the next resistance at 1.3600 – 1.3620.

USD/JPY

USD/JPY is moving higher, supported by general dynamics of the U.S. dollar. From a big picture point of view, traders are taking some profits off the table after the strong pullback from the 149.00 level.

In case USD/JPY climbs back above 145.00, it will head towards the resistance at 146.00 – 146.50.

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