The “Power of the Pattern” suggested that a “Bullish Cup and Handle” pattern looked to be taking shape almost 2 weeks ago (see post here). Below is an update to the pattern…
CLICK ON CHART TO ENLARGE
The day and week is far from over, so far though the Dollar & Euro are both doing their best to break key resistance/support lines at (1).
Yes the Dollar is up/Euro down and stocks are up today… keep a close on on the C&H pattern to see if this really a breakout/breakdown or a quick turn around fake out!
The reality of a Dollar breakout/Euro breakdown….LOOK OUT BELOW RISK ASSETS!
Curious how the euro looks like an inverted cup and handle. An idea for “tiff” could be the smn.
@Marco – When S&P falls and VIX falls or there is no change in VIX, then we may see market going down further as Bulls are extremely optimistic. That is never good for the market.
Thanks for the update. You confirmed my thoughts!
SP500 holds 1220, no gain seen on VIX, IBM nor AAPL doesn’t broke support. Maybe bulls have another round tomorrow
If the dollar breaks out then commodities should fall. What would be the best stock/etf to own if commodities do breakdown?