As the pair breaks lower, it signals that a majority of the components in the index are leading the move lower, and thus is a bearish sign.
The chart shows that prices had been in a strong uptrend since late June, and subsequently formed a bearish double-top pattern in August. The breaking of the upward trend line due to the Syrian conflict could be just the beginning of the correction lower.The fear of higher rates and less Fed intervention could lead to weakness throughout the fall season, with a potential move higher in winter. Stay attuned to the actions of the Fed and Syria to gauge market sentiment and future direction. Follow @AndrewSachais This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
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