Advertisement
Advertisement
U.S. Dollar Gains Ground On Strong Jobs Data: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY
By:
Key Points:
- EUR/USD pulled back towards the 1.1600 level as traders focused on U.S. job market data.
- USD/CAD made an attempt to settle above the 1.3900 level amid pullback in commodity markets.
- USD/JPY was mostly flat as traders waited for additional catalysts.
U.S. Dollar Tests New Highs After Initial Jobless Claims Report
U.S. Dollar Index gains ground as traders react to the Initial Jobless Claims report. The report indicated that 198,000 Americans filed for unemployment benefits in a week, compared to analyst forecast of 215,000.
If U.S. Dollar Index settles above the 99.50 level, it will move towards the nearest resistance, which is located in the 100.25 – 100.40 range.
EUR/USD Retreats As Traders React To Germany’s GDP Report
EUR/USD is losing ground as traders focus on GDP data from Germany. The country’s GDP grew by +0.2% in 2025, in line with analyst estimates. Germany’s Wholesale Prices decreased by -0.2% month-over-month in December, compared to analyst forecast of +0.2%.
Currently, EUR/USD is trying to settle below the support at 1.1615 – 1.1630. In case this attempt is successful, it will head towards the next support at 1.1500 – 1.1515.
GBP/USD Tests Support At 1.3360 – 1.3375
GBP/USD pulled back despite the better-than-expected UK GDP report. The report showed that UK GDP increased by +0.3% month-over-month in November, compared to analyst forecast of +0.1%.
A move below the support at 1.3360 – 1.3375 will open the way to the test of the next support level at 1.3255 – 1.3270.
USD/CAD Gains Some Ground As Commodity Markets Fall
USD/CAD continues its attempts to settle above the resistance at 1.3890 – 1.3905 as traders react to the pullback in commoditiy markets.
If USD/CAD manages to settle above the 1.3905 level, it will gain additional upside momentum and move towards the next resistance at 1.3980 – 1.3995.
USD/JPY Attempts To Rebound After Pullback
USD/JPY is mostly flat despite the rebound in Treasury yields. Traders are cautious and try to evaluate whether BoJ intervenes in case USD/JPY gets close to the 160.00 level.
From the technical point of view, USD/JPY needs to stay above the resistance level at 158.00 – 158.50 to have a chance to gain additional upside momentum in the near term.
If you’d like to know more about how to trade forex, please visit our educational area.
About the Author
Vladimir Zernovauthor
Vladimir is an independent trader, with over 18 years of experience in the financial markets. His expertise spans a wide range of instruments like stocks, futures, forex, indices, and commodities, forecasting both long-term and short-term market movements.
Advertisement