A breakdown of support in the Australian Dollar/U.S. Dollar ratio has led to three declines of 8%, 18% and 7% in the past 12 months!

Shared the chart below with Premium members on 3/14 and on the blog March 29th, within 1% of the 2012 highs.

The Power of the Pattern was suggesting that ….at least another 7%decline should be in the cards due to the chart below and it was time to protect your assets (see post here)  


In the past year this indicator was three for threenow it is four for four and investors that didn’t harvest values have seen an 8% decline in the value of their S&P 500 holdings, reflected in the chart below.


This currency ratio has sent quality messages of when to reduce risk exposure over the last year

Investors still long the S&P 500 need to hope that support holds at (2) in the above chart….because it it doesn’t this indicator is suggesting the 500 index should decline closer to the August/September decline numbers!   

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