** Euro increased after the Greek legislator bailout rubber-stamp
** Strong euro resistance around $1.33 seen capping gains
** $ Rege trend intact, U.S. yields rise
B. Yen remains weak, falls to 5-month low vs euro in the vicinity of
By Nia Williams and Jessica Mortimer
(LONDON, March 21, Reuters) - the euro against the dollar later edged and hit a near five month high against the yen on Wednesday on signs Greece bailout was smoothly forward and as investors again reduced again strong bearish bets on the single currency.
Further gains may be limited when a stronger dollar driven confirmed trend of higher U.S. Treasury yields even. The steam could lead top Euro $1.33, especially, if the weak euro zone purchasing manager surveys come in on Thursday.
The single currency rose 0.3 percent to offer a nearly two-week high of $1.3286 after Greece of the legislature of the country second bailout, as expected. It was last up 0.1 percent to $1.3234.
Many analysts said the approval had been seen as a formality, but characters that became the Greek bailout on the line, paired with some short covering as investors bet against the euro had those positions, squared reinforced the single currency.
"This was not a big step, but as positively perceived by the market," said Lutz Karpowitz, currency analyst at Commerzbank.
Technical analysts said that the euro rally was probably the steam to $1.33, above the 61.8% retracement of its late February to mid-March failed, and before the March 2 to $1.3332 high execution.
"It has a relaxation in general concerns about liquidity in the euro area and the creditworthiness of the eurozone banks, plus euro short positions can continue is dealt with, said Adrian Schmidt, currency strategist at Lloyds."
He saw potential for the euro against the dollar, rising, although a high hurdle to be short-term resistance at $1.3320 around the top of the last range, compared to $1.35, comes on Thursday preliminary PMI data in weak.
Investors carefully remained the risk of another FLARE up in the debt crisis in the euro zone. Greece has his first game of the bailout payments this week, but the Italian Government saw to clash with the trade unions on employment law set out reforms.
A firmer dollar because of expectations of further monetary easing by the US Federal Reserve after a modest lift of its economic prospects fade can also hinder the euro.
Ten-year US Treasury yields were last trading day approx. 2.365 percent, within sight of 4-1/2 month high 2.399 percent hit on Tuesday.
U.S. housing market data, around 1400 GMT, could increase the dollar if it adds expectations, the world's largest economy picking.
WEAK YEN, UK BUDGET
Rising U.S. have the dollar, especially against the yen income and monetary easing by the Bank of Japan last month to increase. The greenback rose 0.4 percent and 84.09 yen, simply just shy of an 11-month high of 84.187 Yen met last week.
During the Asian session, Japanese exporters were seen selling the dollar before the end of their financial year on March 31, but market players said it was to buy the greenback on dips in good demand.
The euro has also a near five-month Summit of 111.43 yen on trading platform EBS, shortly before the resistance to 111.57, the top hit on the October 31, when Japanese authorities last intervened in the market.
The yen sagged against the pound, with the pound rise about 133.40 yen, its highest level since June 2011 session to a peak.
Market focus on Wednesday will present Finance Minister George Osborne, budget also contact the UK, difficult task faces one support a nascent economic recovery at a time when public finances are stretched.
Sterling withdrawal from the highest in more than two weeks against the dollar after leader minutes from the Bank of England's last meeting of the Committee of monetary policy and higher than expected UK Government bonds pay.
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