2/24 Commentary on the Market and Dollar Below
Fitch credit rating agency is scheduled to review the US AAA credit rating on March 21. They've stated that they will render a decision by March 31. If US debt is downgraded it could hurt the dollar and allow this H&S Topping pattern to play out. A downgrade could also provide a short term boost for gold. The Dollar is testing its rising trend. Should it break and prices drop below the neckline, the pattern has a good shot of playing out. If Fitch reaffirms the AAA rating, it could be a non event.
Bearish Divergences on the Hourly Charts Could Produce a PullBack or Reversal
Bearish Divergences on the Hourly Charts Could Produce a PullBack or Reversal, so keep your eyes on the clouds. Some possible H&S topping patterns may set up on the hourly charts below, but it is way too early to know whether they will complete or not. But as long as prices hold above the clouds, momentum remains bullish.