Can you recall the feeling as looked down the first hill of a large roller coaster?  You knew the downside was going to come quick and take some of your breath away! 

Wanted to take a “Macro Monday Moment” and focus on the current trends and impacts after two rather large bearish rising wedges formed in the U.S. Dollar and CRB index and what happened after support broke.


The CRB broke below rising wedge support back in May, suggesting that commodities should work their way lower in prices going forward. 

 The game plan on this breakdown is either to pull risk exposure off the table in a big way or work to short commodities on rallies as they hit falling resistance levels. 

The chart below is a performance report from last week and reflects what can take place in the Commodity arena after a large rising wedge breaks support!


Two weeks ago today the Power of the Pattern reflected that Gold (GLD) and Silver (SLV) were up against falling resistance lines and if investors were aggressive, presented a great place to short the metals.  (see post here)  Aggressive Premium members remain focused on shorting Silver at this time!


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