The “Power of the Pattern” has been suggesting that a bullish Cup & Handle pattern has been forming in the U.S. Dollar (see post here)
In prior posts I shared that the ideal situation would be for the Dollar to come back and test the top of the cup as support, have support hold and then the Dollar should move higher…below is an update, as the Dollar is following this pattern!
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The price action and the pattern remains pretty close to text book in the Dollar and the “Cup & Handle” pattern.
A further push higher by the Dollar will continue to push risk assets lower and could really put a hurt on the metals complex, due to fund flows in Gold being at record highs!