Gold ran into a little bit of resistance today.
Wednesday was day 12 for the daily gold cycle. We see gold running into resistance at the 1300 level. Gold is also running into resistance from the declining cycle trend line.
Gold could form a swing high here and decline into a daily cycle low. If so, with a day 12 peak gold still stands a good chance of printing a right translated daily cycle. A break below 1273.80 does form a swing high.
However, if gold does manage to go higher then that virtually will lock in a right translated nature to this daily cycle.
The Miners have a similar set up to gold. The Miners are also right up against a declining trend line as well as resistance at the 240 level.
The Miners at day 14 are deeper into their daily cycle than gold. So if the Miners did decline into a daily cycle low from here, they are more likely to form a right translated daily cycle. If the Miners can break higher here then like gold, it will virtually lock in a right translated daily cycle.
If gold and the miners are to go higher here, they would likely need a boost from a weaker dollar. Perhaps the Selling on Strength print for UUP is foreshadowing more dollar weakness.
UUP does not show up on the SOS too often. A UUP print of 34 million is worth noting. That may indicate the dollar may still break lower.
The dollar printed a lower low today on a narrow range day, which eases the parameters to form a swing low. A break above 82.89 forms a swing low. A break of the declining trend line would confirm a daily cycle low.
However, the dollar’s daily cycle stands at day 20. The dollar usually forms a DCL between days 18 and 28. So there is still time for the dollar to go lower.
So if the SOS print does accurately foreshadow more dollar weakness, that will likely send gold and the Miners into their daily cycle peaks.
Cycle Trading 
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