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Forex pairs in this Article » EUR/USD (Edinburgh) -The shared currency is trading almost unchanged from yesterday’s close, with the EUR/USD consolidating its recent sharp advance beyond 1.3500 the figure.

EUR/USD it’s all about the Fed

A more dovish than expected Fed caught markets off guard on Wednesday, leaving the monthly purchases of bonds intact at $85 billion against a consensus of a lite-taper pointing to $5-$10 billion. Furthermore, Chairman Bernanke added that the current stimulus program could extend until December or even 2014, adding extra selling pressure to the greenback. It is worth noting that many Fed’s members revised for later the time of the first rate hike to 2015 from 2014.

EUR/USD key levels

The pair is now up 0.02% at 1.3525 with the next resistance at 1.3598 (high Feb.5) and then 1.3660 (high Feb.4). On the flip side, a breakdown of 1.3453 (high Aug.20) would open the door to 1.3399 (high Aug.28) and finally 1.3385 (high Sep.16).
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