FXStreet (Córdoba) - The EUR/USD rose on Friday despite risk appetite and finished the week trading around 1.3400 slightly below the price it had a week ago.
The pair posted the fifth weekly decline in a row but did not reached fresh lows for the current year, like it did in the previous four weeks. Price action remained limited , trading in a small range with resistance below 1.3410/20 and support above 1.330.
EUR/USD consolidates after big decline
The pair continues to move with a downside bias on a wider perspective but during the last days showed signs of stabilization, that could be followed by another bearish run or a corrective rally.
“While we expect EUR/USD to trend lower medium-term, we still expect the pace of USD gains to be moderate and constrained by a dovish FOMC. That said, in recognition of the USD’s recent strength we have revised down our 12 month forecast for EUR/USD to 1.28 from 1.30,” affirmed analysts at Rabobank.