EUR/USD Signal - USD 5 Year Note Auction - 26 May 2021

EURUSD is in an ascending wedge pattern prior to the USD 5 year note auction, which shows the yield on the note. Note yields are a key indicator for the economic environment, as increasing yields reflect a positive economic environment, and declining yields show a less positive environment. Technically the pair is in an ascending wedge, which is a bearish chart pattern. The PPO is bearish and we anticipate downside into the 1.21950 level.