The euro may advance against the dollar toward its December 2008 high of $1.4720 after the European currency rebounded from so-called support around $1.4500, BNP Paribas SA said, citing trading patterns. The “recent rejection of intra-day declines finds strong support developing at $1.4500 and $1.4515,” wrote Andrew Chaveriat, a technical analyst in New York at BNP Paribas, in an e-mail to Bloomberg News yesterday. “This should anchor a further rise toward major resistance at the December high.” The $1.4500 and $1.4515 levels represent the lows of Sept. 10 and yesterday, respectively, based on data compiled by Bloomberg. Resistance and support levels are where sell and buy orders may be clustered. The euro traded at $1.4623 as of 10:37 a.m. in Tokyo from $1.4618 in New York yesterday, when it climbed to $1.4653, the highest level since Dec. 18. Europe’s currency has strengthened 2.1 percent in September and may gain for a third-straight month, its longest winning streak since March 2008. The weekly chart of the euro against the dollar also shows a “big jump -- the strongest price action since May,” Chaveriat said. The euro climbed 1.9 percent last week, the most since the week ending May 22, based on Bloomberg data. “A firm weekly close Friday above $1.4614 would be the strongest since August 2008, opening scope to $1.4865,” the Sept. 22, 2008 high, Chaveriat wrote. In technical analysis, investors and analysts study charts of trading patterns and prices to forecast changes in a security, commodity, currency or index. To contact the reporter on this story: Ron Harui in Singapore at rharui@bloomberg.net

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