FOREX: Italian Election Fear May Drive Euro Lower

Euro-dollar formed a pattern which is likely to break to the downside.

The Euro-dollar pair is trading in symmetrical triangle pattern on a 30 minute time frame- an intraday time frame. The overall trend for the pair on a bigger time frame is skewed to the downside and this means that the odds are in favour for shorting the currency rather than taking a long position. Now, given that the overall trend is to the downside, it is highly that the symmetrical triangle would break to the downside.
Traders should also be mindful of the fact that the price is trading in downward channel as well (shown by white parallel lines). So if the price breaks out of this triangle to the downside, then the likely support zone could be near the lower line of the parallel channel.
The near term support zone is shown by the horizontal green line
The near term resistance zone is shown by the horizontal red line.