Price on DBC is trading just above trendline support. It may be in the process of forming a Head & Shoulders pattern, with the 50 sma (red) at the neckline. The MACD, Stochastics, and RSI indicators are just above the zero or 50 level.
The AUD/USD is trading just below a confluence of trendline/price resistance and both the 50 and 200 smas, but just at its lower Bollinger Band. The MACD, Stochastics, and RSI indicators are all below the zero or 50 level and entering oversold territory.
If DBC breaks and holds below its neckline to indicate a measured move down to around 26.00, and if the AUD/USD continues to weaken to confirm such a scenario, we may see also equities weaken and decline.
