EUR/USD at 1.219 -0.4% on ECB's Statement on Inflation, Growth

After breaking the symmetrical triangle to the downside after the ECB lowered rates on July 5, the euro is continuing its descent after the ECB said:

"Inflationary pressure over the policy-relevant horizon has been dampened further as some of the previously identified downside risks to the euro-area growth outlook have materialized.”;


"Economic growth in the euro area continues to remain weak, with heightened uncertainty weighing on confidence and sentiment." (h/t BusinessWeek)

EUR/USD might be headed towards the lower bound of the descending channel on the chart (eventually). It needs a strong positive catalyst at this point to turn it around. Austerity measures and the sovereign debt and banking crisis are putting a cap on growth and inflation in the euro zone. The September E-mini S&P future is trading at 1325.75, -0.79%.
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