FXstreet.com (Barcelona) - The Dollar has been behaving weak against the European currencies on the Asian and European sessions ahead of the Fed's interest rate decision; Euro and Pound have been climbing slowly to levels close to resistance.
The EUR/USD bounced up at 1.3185on Tuesday to climb slowly to resistance level at 1.3331 and withdraw somewhat afterward. According to Peter Rosentreich, economist at Advanced Currency Markets, the Euro is on the upside, and resistance at 1.3385 is on focus: Break will indicate that fall from 1.4719 has completed. This will also argue that such decline is merely part of the consolidation that started at 1.2329, which is indeed still in progress. In such case, stronger rebound could be seen, targeting 1.4719 high.
The GBP/USD remains on the upside on rebound from 1.3503, according to Rosentreich, who does not expect the Pound to cross resistance level at 1.4469, (Dic 4 low): We're still expecting upside of the current recovery to be limited below 1.4469 support turned resistance and bring another fall. Below 1.4028 will flip intraday bias back to the downside first.