EUR/USD trapped in 100-pip range

The euro’s high at $1.3570 against the US dollar following the US Federal Reserve’s decision not to commence QE tapering continues to cap euro upside.

The EUR/USD pair is trapped in a 100-point range with $1.3460 finding bids so far today. Prior resistance at $1.3420 should become supportive and may provide a buy-on-the-bounce opportunity.

Any breaches of this level could bring about a return to last week’s $1.33 levels and the rising 50-day moving average.

EUR/USD (DFB) chart

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