Sasha Singh
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EURUSD : Still Consolidating Within Descending Triangle

EURUSD is still trading within the descending triangle as there was no major move seen in the pair after the Fed release of meeting minutes. We can see that the pair is currently testing the support at 1.3652. According to the triangle trend the pair should continue the current downtrend by breaking this support. 

On the daily chart we can see that the pair was earlier having support from 50 day SMA and then fell below it finding support from 100 day SMA. Then again the pair declined below 100 day SMA finding support from 200 day SMA. Seems like currently the pair is supported by the euro zone manufacturing PMI data released today which showed that the manufacturing activity in euro zone expanded at the slowest rate in 6 months in May but the service sector expanded at the fastest rate in three years. Germany also posted growth in the services sector at the fastest rate in nearly 3 years. But this data won't be able to support the pair for long time and the selling pressure will move the pair further down.