In the chart below, I highlighted that a “Head & Shoulders” pattern had formed in the U.S. Dollar and that a break of its NECKLINE was taking place.  Shared in the post (see post) that  Commodities and Stocks should benefit from the break of the neckline.

Update below…

Even though many fundamental reports appear to reflect softness, which might have kept investors totally on the sidelines or shorting the stock market during one of the best September rallies in decades,  the action of the Dollar continues to suggest that International and Commodity holdings are the areas to overweight portfolio holdings.

With the Dollar ETF (UUP) FAST APPROACHING KEY SUPPORT, make sure trailing stops are in place to protect gains in the Commodity and International positions.

How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past