Dollar climbs against euro as Bernanke testimony eyed

NEW YORK (Forex News Now) – The dollar climbed against the euro on Wednesday, as FX traders awaited the testimony of Ben S. Bernanke, the U.S. Federal Reserve chairman.

In European midday currency trading, EUR/USD hit 1.2791, a 4-day low. The currency pair later rose slightly to trade at 1.2816, down 0.5 percent on the day.

Bernanke was later due to testify before the Senate Banking Committee in Washington, D.C. FX traders were likely to seek clues to future monetary policy in his comments.

According to forex analysis, EUR/USD was likely to touch support around the low of July 14, 1.2683, and encounter immediate resistance around Tuesday’s 2-month high, 1.3028.

The greenback was also lifted by strong earnings results from Apple and Coca-Cola. After the market closed Tuesday, Apple said it exceeded profit forecasts and raised its revenue outlook above market expectations when it released results.

Meanwhile, the euro fell versus the pound: EUR/GBP traded at 0.843, down 0.11 percent.