The Euro-Dollar Rate is "Vulnerable" to the Downside into Year-end, Analysts Say 

The Euro was on its front foot in the opening session of the new week but is vulnerable to losses heading into year-end, according to some analystss, who cite high U.S. bond yields, lingering trade tensions and political uncertainty as just some of the factors that could weigh on the single currency up ahead. 

Studies of the EUR/USD charts show the pair selling-off after forming a bearish double-top reversal pattern, and more downside is quite possible, especially in the short-term.

The Euro saw a soft start to the final session of the week Friday after having been undermined in the previous session by new European Commission forecasts suggesting there might be trouble ahead for the European Central Bank (ECB), which is risking earlier optimism over the growth outlook and trade war.

The Euro got the better of major rivals Wednesday after a series of new reports further dispelled the continental economic gloom of recent months, although both the single currency and its economy are being tipped for a more protracted recovery next year. 

The Euro underperformed most major rivals Tuesday and actually ceded ground to a wobbly Dollar despite speculation the White House is considering rolling back some more of its tariffs on imports from China, which is a dynamic that's likely to persist for a while yet, according to Societe Generale.

The Euro rose Monday on a series of favourable trade headlines that have helped put it on course to test a three-month high against the Dollar later this week, according to some forecasts, but the single currency is still being tipped in the city to reach new lows before year-end. 

Studies of the Euro-Dollar charts show the pair probably resuming its short-term uptrend after a brief pull-back.

The Euro was buoyed by a hat-trick of economic treats Thursday after inflation and GDP figures surprised on the upside, hard on the heels of a Federal Reserve (Fed) that just scrapped its interest rate crown, although resurfacing trade tensions are already threatening to spoil the improved mood around the single currency.