Cycle Trading

Monday was day 22 for the daily gold cycle and its is getting late in the timing band.

Gold’s daily cycle typically runs 18 – 25 days from trough to trough.
We have been looking for a break above 1619.60 to confirm a right translated nature to this daily cycle.

Monday saw gold break lower and breaching the daily cycle trend line. At this late stage of the daily cycle this holds a good likelihood of signaling a daily cycle decline.

The 1620 level has been a significant resistance level and perhaps golds needs the energy from a new daily cycle to break above it.

The Miners also appear to be rolling over.

The Miners daily cycle sports a day 11 peak.
Monday formed a swing high and a breach of the daily cycle trend line which signals a daily cycle decline.

The Miners will need to hold above the March 6 daily cycle low of 337.29 in order to print a higher low and signal that this is the first daily cycle of a new intermediate cycle.

It seems that both gold and the Miners took their cue from the dollar.

The dollar appeared to test the low printed on 3/15 and reverse higher.
One of the things that we are keeping an eye on is if this dollar daily cycle will form as a right or left translated daily cycle.
A peak by day 8 signals a left translated daily cycle and also signal that the intermediate cycle has topped.

As you can see in the above chart, Gold has made some if its best gains during an intermediate dollar decline.