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FOREX-Dollar recovers from Fed-inspired losses

(Updates prices, adds comment)

* Greenback firms vs euro after biggest fall in six years

* Fed's statement far less hawkish than market expected

* Technicals still suggest a bullish dollar outlook

By Gertrude Chavez-Dreyfuss

NEW YORK, March 19 (Reuters) - Rebounding from steep losses in the previous session on a more cautious than expected Federal Reserve statement on interest rates, the dollar rose broadly on Thursday as investors remained bullish on the greenback.

The dollar suffered its biggest one-day fall against the euro and sterling in six years on Wednesday. Against the Swiss franc, it posted its worst daily performance since Jan. 15, when the Swiss National Bank removed a peg on the Swiss franc against the euro. Against the yen, the dollar had its weakest day since December.

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In a Fed statement issued after its policy meeting on Wednesday, the U.S. central bank removed reference to being "patient" on rate rises but downgraded its views on the economy and inflation and lowered its interest rate trajectory.

Richard Franulovich, senior currency strategist at Westpac in New York, said the Fed's dovish statement was an excuse to sell lopsided positions on the dollar. But he added that the greenback is still a good bet in the medium term.

"The Fed is less supportive of the dollar, but the dollar's bull trend is built on more than just the Fed," he said. "I still think parity with the euro is still achievable. It's difficult to see the euro gain any momentum with the ECB buying $3 billion in bonds every day and Greece is still unresolved."

In afternoon trading, the euro was down 2.2 percent at $1.0623 after having traded above $1.10 on Wednesday night, while the dollar index was up 0.7 percent at 99.281. The dollar was up 0.7 percent at 120.96 yen.

Technically, the dollar has kept its bullish trend, according to forex portal ActionForex.com, as it stayed above support levels.

For instance, the euro is trading below the $1.1096 resistance area. The price action from $1.0461 is viewed as consolidation and might extend. But that should be followed by downside breakout sooner or later, ActionForex.com said.

The Norwegian crown gained as much as 3 percent against the euro, its biggest daily rise since 2008, after Norway's central bank kept interest rates on hold, defying expectations of a cut. The euro was last down 2.7 percent at 8.6343 crowns.

Switzerland's central bank also left rates unchanged on Thursday, driving the franc up 0.8 percent against the euro to 1.0542 francs. The dollar rose 1.5 percent versus the franc to 0.9916 franc.

(Reporting by Gertrude Chavez-Dreyfuss; Editing by Dan Grebler; Additional reporting by Jemima Kelly in London; Editing by James Dalgleish)