Its broken the Level

Keep an eye on the US Dollar in the coming days. The inverse relationship between the DXY dollar Index and the Equity Markets have been uncanny of late.

Here's a chart on Cable (GBPUSD). As you can see , its a very clear heads and shoulders pattern and we have just had a break below the 1.6200 level on the downside for a flag pattern.

If we see a large scale move back towards the US Dollar it could see movements to the downside in Equity markets.