U.S. Dollar Gains Ground As Housing Starts Beat Estimates: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Moves Higher As Traders Focus On Housing Market Data

U.S. Dollar Index continues its attempts to settle above the resistance at 98.00 – 98.20 as traders react to housing market reports. Housing Starts increased by +5.2% month-over-month in July, compared to analyst forecast of -2.2%. Building Permits decreased by -2.8%, missing analyst estimates.

If U.S. Dollar Index settles above 98.20, it will head towards the next resistance level at 99.20 – 99.40.

EUR/USD Pulled Back Towards The 1.1650 Level

EUR/USD is mostly flat as traders react to U.S. economic reports. Currently, EUR/USD is trying to settle below the 50 MA at 1.1665.

If EUR/USD manages to settle below 1.1665, it will head towards the support level at 1.1575 – 1.1590.

GBP/USD Tests Support At 1.3485 – 1.3500

GBP/USD continues its attempts to settle below the support at 1.3485 – 1.3500. RSI is in the moderate territory, and there is plenty of room to gain additional momentum.

A successful test of the support at 1.3485 – 1.3500 will push GBP/USD towards the next support level, which is located in the 1.3400 – 1.3415 range.

USD/CAD Rallies As Canada’s Inflation Rate Falls To 1.7%

USD/CAD tests new highs as traders react to inflation data from Canada. Inflation Rate declined from 1.9% in June to 1.7% in July, compared to analyst forecast of 1.8%. Core Inflation Rate decreased from 2.7% to 2.6%.

Currently, USD/CAD is trying to settle above the resistance at 1.3845 – 1.3860. In case this attempt is successful, USD/CAD will move towards the next resistance at 1.3925 – 1.3940.

USD/JPY Is Stuck Near Key Resistance Level

USD/JPY remains stuck near the resistance at 147.50 – 148.00 as traders focus on falling Treasury yields.

The technical picture remains unchanged as USD/JPY needs to settle above the 148.00 level to gain sustainable momentum in the near term.

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