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Forex - EUR/USD erases gains, pulls away from 3-1/2 week highs

Published 09/18/2015, 09:57 AM
© Reuters.  Euro pulls back from 3-1/2 week highs vs. dollar
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EUR/GBP
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Investing.com - The euro erased gains against the U.S. dollar on Friday, pulling away from a three-and-a-half week high as investors continued to digest the Federal Reserve's decision to hold interest rates for the time being.

EUR/USD pulled back from 1.1460, the pair's highest since August 26, to hit 1.1400, sliding 0.30%.

The pair was likely to find support at 1.1282, Thursday's low and resistance at 1.1562, the high of August 26.

The greenback weakened broadly after the Fed kept interest rates unchanged on Thursday, but losses were limited as the central bank left open the possibility of a rate hike later this year.

Speaking after the rate statement, Fed Chair Janet Yellen said global economic developments played a major part in the central bank's decision.

In deciding when to raise interest rates, the Fed repeated it wanted to see "some further improvement in the labor market" and be "reasonably confident" that inflation will increase.

The euro was also lower against the pound, with EUR/GBP retreating 0.51% to 0.7296.

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