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

U.S. Dollar Gains Ground As Traders React To Jobs Data

U.S. Dollar Index gains ground as traders react to the better-than-expected ADP Employment Change report. The report indicated that private businesses added 143,000 jobs in September, compared to analyst consensus of 120,000.

In case U.S. Dollar Index stays above the 101.50 level, it will head towards the next resistance level, which is located in the 102.00 – 102.20 range.

EUR/USD Pulled Back Below 1.1050

EUR/USD is losing ground as traders react to U.S. jobs data. Today, traders also focused on the Euro Area Unemployment Rate report. The report showed that Unemployment Rate remained unchanged at 6.4% in August, in line with analyst estimates.

From the technical point of view, EUR/USD is moving towards the nearest support level at 1.1000 – 1.1015.

GBP/USD Remains Under Pressure

GBP/USD continues its attempts to settle below the support at 1.3245 – 1.3265 as traders focus on general strength of the U.S. dollar.

A move below the 1.3245 level will open the way to the test of the support at 1.3120 – 1.3140. RSI is in the moderate territory, so there is plenty of room to gain momentum in the near term.

USD/CAD Stays Range-Bound

USD/CAD is swinging between gains and losses as traders wait for additional catalysts. The pullback in the oil markets did not put pressure on Canadian dollar.

If USD/CAD settles back above the 1.3500 level, it will head towards the resistance at 1.3600 – 1.3615.

USD/JPY Tests New Highs As Treasury Yields Rise

USD/JPY gained upside momentum as traders focused on rising Treasury yields. The yield of 2-year Treasuries moved towards the 3.65% level, while the yield of 10-year Treasuries settled near 3.80%.

A successful test of the resistance at 146.00 – 146.50 will push USD/JPY towards the next resistance level at 149.50 – 150.00.

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