Euro expanded positions versus US dollar, is there limitation to gains on the horizon?

Euro zone common currency increased its value against the US dollar during early European trade session, after the pair hit highest value since May 16th during Asian session at 1.2904. Speculations arose whether gains would remain limited before FED minutes on Wednesday.

EUR/USD pair is being traded at 1.2885-89 at the moment of the present article. Resistance levels were expected at 1.2928, highest value from May 16th, while the cross was likely to find support at 1.2818, lowest value from Monday.

Markets lie in wait for FED Chairman, Ben Bernankes speech at the US Joint Economic Committee and the minutes of the Fed’s most recent policy meeting. These events are expected on Wednesday. Investors expect indications that the Federal Reserve Bank is to begin scaling back its easing program this year. Positive signals were submitted last week after data, regarding Consumer Sentiment and Leading Indicators Index, both with registered increase, further paving the way towards possible economic recovery.

EUR/JPY pair increased to 132.18, while EUR/GBP cross eased up to 0.8450.