U.S. Dollar Retreats As Retail Sales Fall: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests New Lows As Retail Sales Miss Expectations

U.S. Dollar Index tests new lows as traders focus on the disappointing Retail Sales report. The report indicated that Retail Sales declined by 0.9% month-over-month in January, compared to analyst consensus of -0.1%.

Currently, U.S. Dollar Index is trying to settle below the support at 106.80 – 107.00. In case this attempt is successful, U.S. Dollar Index will head towards the next support level, which is located in the 105.50 – 105.70 range.

EUR/USD Tests The 1.0500 Level

EUR/USD gains ground as traders focus on the better-than-expected Euro Area GDP Growth Rate report. The report showed that GDP Growth Rate was +0.1% in the fourth quarter, compared to analyst forecast of 0%.

In case EUR/USD manages to settle above the resistance at 1.0515 – 1.0530, it will head towards the next resistance level, which is located in the 1.0630 – 1.0645 range.

GBP/USD Tests Resistance At 1.2600 – 1.2615

GBP/USD is moving higher as traders focus on U.S. economic data. Currently, GBP/USD is trying to settle above the resistance at 1.2600 – 1.2615.

If GBP/USD climbs above the 1.2615 level, it will move towards the next resistance level at 1.2715 – 1.2730.

USD/CAD Is Losing Ground Amid Rising Demand For Commodity-Related Currencies

USD/CAD remains under pressure as demand for commodity-related currencies is rising despite the sell-off in gold markets.

A move below the support at 1.4180 – 1.4200 opens the way to the test of the next support level at 1.4060 – 1.4080.

USD/JPY Pulls Back Amid Falling Treasury Yields

USD/JPY declined towards the support level at 151.50 – 152.00 as traders reacted to the pullback in Treasury yields.

In case USD/JPY manages to settle below the 151.50 level, it will move towards the next support level, which is located in the 149.00 – 149.50 range.

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