BHP Billiton (NYSE:BHP) has had a rough 5 years, down nearly 50% from its 2011 highs. Its pattern and the euro look a good deal alike.
BHP may have created a “W” bottom at falling channel support and is attempting an upside breakout in the chart above.
The euro, too, has also had a rough couple of years. On a short-term basis, euro is attempting to break above short-term falling resistance. Very few investors believe the euro will rally. The lower left inset box shows that bullish sentiment (From Sentiment Trader) toward the euro stands at just 20% bulls right now, which is several percent above the lowest sentiment levels in a decade-plus.
Should the euro push higher, some hard-hit commodities could catch a bid and push them higher.
Stay tuned, some out of favor assets could be fun to own.