U.S. Dollar Tests Weekly Highs: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Tests New Highs As Rebound Continues

U.S. Dollar Index gains ground as traders react to the better-than-expected ISM Manufacturing PMI report. The report showed that ISM Manufacturing PMI decreased from 49 in March to 48.7 in April, compared to analyst forecast of 48.

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, which is located in the 101.40 – 101.60 range.

EUR/USD Tests Support At 1.1275 – 1.1290

EUR/USD is trying to settle below the support at 1.1275 – 1.1290 as traders focus on U.S. economic reports.

If EUR/USD declines below the 1.1275 level, it will move towards the next support level, which is located in the 1.1110 – 1.1130 range.

GBP/USD Remains Under Pressure

GBP/USD pulls back as traders focus on rising Treasury yields, which provide additional support to U.S. dollar.

A move below the support at 1.3300 – 1.3320 opens the way to the test of the next support level at 1.3200 – 1.3220. RSI is in the moderate territory, and there is plenty of room to gain additional momentum in the near term.

USD/CAD Moves Higher Amid Falling Demand For Commodity-Related Currencies

USD/CAD is moving higher amid broad pullback in precious metals markets. Other commodity-related currencies are also losing ground in today’s trading session.

In case USD/CAD stays above the 1.3850 level, it will head towards the resistance level at 1.3930 – 1.3950.

USD/JPY Rallies As Traders Focus On BoJ Decision

USD/JPY rallied as traders reacted to BoJ Interest Rate Decision. Japan’s central bank left the interest rate unchanged at 0.5%, in line with analyst estimates.

If USD/JPY climbs above the 146.00 level, it will head towards the resistance level at 147.50 – 148.00. RSI is in the overbought territory, so the risks of a pullback are increasing.

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