U.S. Dollar Gains Ground As Traders React To Economic Reports: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests New Highs

U.S. Dollar Index gains ground as traders react to NAHB Housing Market Index report. The report indicated that NAHB Housing Market Index increased from 37 in October to 38 in November, compared to analyst forecast of 37. Factory Orders increased by +1.4% month-over-month in August, in line with analyst estimates.

In case U.S. Dollar Index stays above the 50 MA at 99.48, it will move towards the nearest resistance, which is located in the 100.00 – 100.15 range.

EUR/USD Remains Under Pressure

EUR/USD continues its attempts to settle below the support level at 1.1585 – 1.1600.

In case EUR/USD manages to settle below the 1.1585 level, it will head towards the support at 1.1470 – 1.1485.

GBP/USD Attempts To Settle Below 1.3150

GBP/USD is losing some ground as traders wait for additional catalysts. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

A move below the 1.3145 level will open the way to the test of the support at 1.3015 – 1.3030.

USD/CAD Retreats Amid Rising Demand For Commodity-Related Currencies

USD/CAD is under pressure as traders focus on the weaker-than-expected Housing Starts report from Canada. Other commodity-related currencies are also moving higher in today’s trading session.

The nearest support level for USD/CAD is located in the 1.3975 – 1.3990 range. In case USD/CAD declines below the 1.3975 level, it will head towards the next support at 1.3885 – 1.3900.

USD/JPY Tests The 155.50 Level

USD/JPY climbed above the resistance at 154.50 – 155.00 and is trying to settle above the 155.50 level. Traders expect that BoJ will stay dovish due to recent political developments in Japan.

If USD/JPY settles above 155.50, it will head towards the resistance level at 158.00 – 158.50.

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