Earlier today I did the post, per the “potential for a Great Escape” taking place, IF SUPPORT BREAKS! (see post here)
The Euro/Yen is anything but a perfect indicator, yet often it has been a decent leading indicator per the direction/trend changes of stocks.
The “Power of the Pattern” wasn’t joking yesterday, when it was suggesting a rally in the U.S. Dollar was due to take place at any moment!!! (see post here) The U.S. Dollar is moving up and look at its big-time impact on Commodities and stocks….
CLICK ON CHART TO ENLARGE
Key support remains in place for the broad market at this time! The Euro/Yen hasn’t clearly taken out support, yet it is attempting to break a line at (2) that has been in place since the first of the year!!!
Keep an eye on this decent indicator….should it break down further, odds start to increase the 500’s support lines will be put BEYOND a serious test!