The euro recovered losses to trade slightly higher against the dollar on Wednesday as investors positioned for a policy setting meeting of the European Central Bank on Thursday. The euro was last up 0.1 percent at $1.3411, still far from the session high of $1.3454 though off the session low of $1.3349. One analyst said a 50 basis point cut on the benchmark rate, currently 1.25 percent, from the ECB would be positive for risk appetite and should bolster the euro.