Cycle Trading

Waiting on the Dollar to roll over is beginning to be like watching paint dry.

The daily dollar cycle has a day 25 peak

The dollar did sell off a bit today.

Still, it did not form a swing high so therefore the dollar has not entered a daily cycle decline.

And with the dollar not doing too much today, neither did gold.

Monday was day 12 for gold’s daily cycle.
While gold did have a positive close, it was still pretty much flat for the day.
Gold needs to break above the day 3 high of 1619.60 soon in order for this daily cycle to form as a right translated daily cycle.
A break below Friday’s low of 1561.70 signals that gold’s yearly cycle decline is still unfolding.

So while the dollar and gold were not too interesting on Monday,
The Australian dollar and the CCI were …

The AUD appears to have bottomed last Monday, forming a swing low the following day.
Last Friday the AUD sold off without a confirming trend line break.
Monday say the AUD recover Friday’s loss.
Now the AUD is on the verge of breaking through the declining trend line which will confirm a new daily cycle.

And the CCI took notice of this.

Thursday the CCI formed a swing low.
Friday saw the CCI break through the declining trend line confirming a new daily cycle.
Not only did the CCI show some nice follow through on Monday …

It also formed a weekly swing low.

Last week was week 23 for the intermediate cycle.
A new daily cycle has been confirmed.
Now with a weekly swing low, that could mark a new intermediate cycle as well.

It is beginning to look like these pieces are starting to fit together …