U.S. Dollar Retreats Despite Strong GDP Data: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Is Under Pressure As Traders React To GDP Report

U.S. Dollar Index is losing ground despite the better-than-expected GDP Growth Rate report. The report indicated that GDP Growth Rate was +3.3% in the second quarter, compared to analyst consensus of +3.1%.

Currently, U.S. Dollar Index is trying to settle below the support at 98.00 – 98.20. In case this attempt is successful, U.S. Dollar Index will head towards the next support level, which is located in the 97.10 – 97.30 range.

EUR/USD Tests Resistance At 1.1685 – 1.1700

EUR/USD is moving higher as traders react to the weaker-than-expected Euro Area Economic Sentiment report. The report showed that Economic Sentiment declined from 95.7 in July to 95.2 in August, compared to analyst forecast of 96.

A successful test of the resistance at 1.1685 – 1.1700 will open the way to the test of the next resistance level at 1.1785 – 1.1800.

GBP/USD Gains Ground As Rebound Continues

GBP/USD is moving higher as traders focus on U.S. economic data. Initial Jobless Claims report showed that 229,000 Americans filed for unemployment benefits in a week, compared to analyst forecast of 230,000.

If GBP/USD stays above the resistance at 1.3485 – 1.3500, it will head towards the next resistance level at 1.3580 – 1.3600.

USD/CAD Pulls Back As Precious Metals Markets Rally

USD/CAD is losing ground as traders focus on the strong rally in precious metals markets. Other commodity-related currencies are also moving higher in today’s trading session.

In case USD/CAD manages to settle below the support at 1.3735 – 1.3750, it will move towards the next support level at 1.3635 – 1.3650.

USD/JPY Tests The 147.00 Level

USD/JPY has recently failed to settle above the 148.00 level and pulled back below 147.00.

If USD/JPY stays below the 147.00 level, it will head towards 146.00. A move below this level will open the way to the test of the support at 143.00 – 143.50.

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