EUR/USD: the pair could still decline on the forex due to the Fed (Danske Bank)

Danske Bank believes that the USD could find short-term support on the forex through the Fed.

"The EUR/USD pair had a very volatile session Wednesday. First, it found support towards 1.13 on weak US data, before the hawkish Fed erased the pair's gains.

The USD rose with the Fed despite the fact that the rate hike decision was largely anticipated before the meeting. This shows that the USD could find short-term support in view of a further rate hike this year and a possible quantitative reduction "soon".

We remain tactically bearish on the EUR/USD for a fall below 1.10 at the end of the summer."