U.S. Dollar Gains Ground As Treasury Yields Rise: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Moves Higher Ahead Of The Weekend

U.S. Dollar Index rebounded from session lows as U.S. President Donald Trump said that high tariffs on China were not sustainable.

In case U.S. Dollar Index manages to settle back above the 98.50 level, it will head towards the nearest resistance, which is located in the 98.85 – 99.00 range.

EUR/USD Pulled Back Below The 1.1700 Level

EUR/USD moved away from recent highs as traders took some profits off the table after the recent rebound.

The nearest resistance level for EUR/USD is located in the 1.1685 – 1.1700 range. In case EUR/USD climbs above the 1.1700 level, it will head towards the next resistance at 1.1775 – 1.1790.

GBP/USD Tested The 1.3400 Level

GBP/USD has also moved lower as traders focused on Trump’s comments and bet that U.S. and China may avoid the second round of the trade war.

A move below the 1.3400 level will push GBP/USD towards the 50 MA at 1.3370. If GBP/USD declines below the 50 MA, it will head towards the next support level at 1.3330 – 1.3350.

USD/CAD Stays Range-Bound

USD/CAD remains stuck in a tight range despite the strong sell-off in precious metals markets, which is driven by profit-taking. Other commodity-related currencies are flat in today’s trading session.

A successful test of the support at 1.4000 – 1.4015 will open the way to the test of the next support level at 1.3910 – 1.3925.

USD/JPY Rebounds As Treasury Yields Move Higher

USD/JPY has started to rebound after pullback as traders focused on rising Treasury yields. The yield of 2-year Treasuries climbed above the 3.45% level, providing support to the American currency.

In case USD/JPY settles back above the resistance at 151.00 – 151.50, it will head towards the next resistance level, which is located in the 154.50 – 155.00 range.

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