U.S. Dollar Gains Ground As Non Farm Payrolls Beat Estimates: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Is Moving Higher As Traders Focus On Job Market Data

U.S. Dollar Index gained ground as traders reacted to the better-than-expected Non Farm Payrolls report. The report showed that the economy added 147,000 jobs in June, compared to analyst forecast of 110,000.

In case U.S. Dollar Index manages to settle above the 50 MA at 97.29, it will head towards the nearest resistance level, which is located in the 98.00 – 98.20 range.

EUR/USD Attempts To Settle Below 1.1750

EUR/USD pulled back as traders focused on U.S. economic reports. Unemployment Rate declined from 4.2% in May to 4.1% in June, compared to analyst forecast of 4.3%.

If EUR/USD stays below the 1.1750 level, it will head towards the support at 1.1675 – 1.1690.

GBP/USD Is Mostly Flat As PM Starmer Backs Chancellor Reeves

GBP/USD continued its attempts to settle below the support at 1.3620 – 1.3640 as traders remained focused on political developments in the UK. PM Keir Starmer backed Chancellor Rachel Reeves, providing support to the British pound.

A move below the 1.3620 level will push GBP/USD towards the support at 1.3500 – 1.3520.

USD/CAD Remains Under Pressure

USD/CAD tests new lows despite the pullback in commodity markets. Other commodity-related currencies are losing ground in today’s trading session.

A successful test of the support at 1.3550 – 1.3565 will open the way to the test of the next support level at 1.3420 – 1.3435.

USD/JPY Tests New Highs As Treasury Yields Rise

USD/JPY rallied as traders reacted to the strong Non Farm Payrolls report. Treasury yields moved higher as traders reduced bets on dovish Fed. The yield of 2-year Treasuries climbed towards the 3.90% level, which was bullish for USD/JPY.

In case USD/JPY manages to settle above the 146.00 level, it will move towards the resistance level at 147.50 – 148.00.

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