U.S. Dollar Gains Ground On Tariff News: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Index Tests Resistance At 100.20 – 100.40

U.S. Dollar Index gains ground as traders react to tariff news. President Trump announced that the U.S. reached a trade deal with the UK. The final details of the deal would be negotiated in the upcoming weeks, but markets are happy to see a trade deal after weeks full of uncertainty.

Currently, U.S. Dollar Index is trying to settle above the resistance at 100.20 – 100.40. In case this attempt is successful, U.S. Dollar Index will move towards the next resistance level at 101.40 – 101.60.

EUR/USD Tests New Lows

EUR/USD is losing ground as traders focus on tariff news and react to Germany’s Industrial Production report. The report indicated that Industrial Production increased by +3% month-over-month in March, compared to analyst forecast of +0.8%.

In case EUR/USD stays below the support level at 1.1275 – 1.1290, it will move towards the next support at 1.1110 – 1.1130.

GBP/USD Is Volatile After BoE Decision

GBP/USD is swinging between gains and losses as traders react to BoE Interest Rate Decision. The central bank decided to cut the interest rate from 4.5% to 4.25%, in line with analyst estimates. Seven members voted for a cut, while analysts expected that the vote would be unanimous.

If GBP/USD settles below the 1.3300 level, it will move towards the next support at 1.3200 – 1.3220.

USD/CAD Attempts To Settle Above 1.3900

USD/CAD is moving higher despite the rally in the oil markets. Other commodity-related currencies have also found themselves under pressure in today’s trading session.

A successful test of the resistance at 1.3930 – 1.3950 will push USD/CAD towards the next resistance level at 1.4060 – 1.4080.

USD/JPY Gain Ground As Traders Focus On BoJ Minutes

USD/JPY rallied as traders reacted to BoJ Minutes, which indicated that the central bank would be cautious when considering the timing for the next rate hike.

A move above the 146.00 level will open the way to the test of the resistance at 147.50 – 148.00.

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