U.S. Dollar Gains Ground On Safe-Haven Demand: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Index Tests Resistance At 98.85 – 99.00

U.S. Dollar Index gains ground as traders focus on the strong sell-off in precious metals markets.

Currently, U.S. Dollar Index is trying to settle above the resistance at 98.85 – 99.00. In case this attempt is successful, U.S. Dollar Index will move towards the next resistance level, which is located in the 100.00 – 100.15 range.

EUR/USD Remains Under Pressure

EUR/USD pulled back amid lack of additional positive catalysts. There are no important economic reports scheduled to be released in the EU today, so traders will stay focused on general market sentiment.

In case EUR/USD manages to settle below the support at 1.1585 – 1.1600, it will head towards the next support level, which is located in the 1.1505 – 1.1520 range.

GBP/USD Pulled Back Below 1.3400

GBP/USD is losing ground as traders continue to take profits after the strong rebound from October lows.

A move below the support at 1.3330 – 1.3350 will open the way to the test of the next support level at 1.3235 – 1.3250.

USD/CAD Retreats As Canada’s Inflation Rate Jumps to 2.4%

USD/CAD pulled back as traders reacted to inflation data from Canada. Inflation Rate increased from 1.9% in August to 2.4% in September, compared to analyst consensus of 2.3%. Core Inflation Rate grew from 2.6% to 2.8%, compared to analyst forecast of 2.7%.

A successful test of the support at 1.4000 – 1.4015 will push USD/CAD towards the next support level, which is located in the 1.3910 – 1.3925 range.

USD/JPY Moves Higher As Traders Focus On Japan’s New Prime Minister

USD/JPY gained ground despite falling Treasury yields. Sanae Takaichi, who is known for her dovish views on monetary policy, has been elected Japan’s Prime Minister.

If USD/JPY stays above the resistance at 151.00 – 151.50, it will gain additional upside momentum and head towards the resistance level at 154.50 – 155.00.

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