FXstreet.com (Barcelona) - The Euro has been trading lower during the last two weeks, retreating from 1.5145 to levels below 1.4300 during Today's European session, giving away about 800 pips in two weeks, which, according to Allan von Mehren technical analyst at Danske Bank A/S looks excessive and might reverse by new year.

Dollar rally has ben too large, according to von Mehren, and the poair could bounce back towards 1.5000 area early next year: The recent dollar rebound looks excessive in our view and we expect it to reverse in the new year. We expect ample liquidity, a still dovish Fed, and risk appetite to take EUR/USD back above 1.50 in three month's time.