EUR/USD soars on Bernanke dovish testimony

FXstreet.com (Córdoba) - The US dollar weakened further against the euro, with EUR/USD reaching fresh weekly highs as Bernanke testifies. Bernanke said that premature tightening risks slowing or ending US recovery and that job market remains weak despite recent gains.

Dovish comments from Fed's Chairman sent EUR/USD to a high of 1.2997, from around 1.2960 before the speech. At time of writing, the pair is trading around 1.2990, where it records a 0.7% gain on the day.

Above 1.3000, next resistances are seen at the 1.3030 area (high May 14) and 1.3050 (high May 10). On the downside, supports could be found at 1.2900 (daily low) and 1.2840 (low May 21).