The 5/16/14 Weekend Report Preview

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The dollar continued to rally this week after emerging from a failed daily cycle. The dollar peaked on Thursday, which was day 5, where it was rejected as it approached the 200 day MA.

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Friday was day 5 for the dollar’s daily cycle. Thursday’s bearish reversal has eased the parameters for forming a swing high. A break below 79.99 forms a swing high.

Stocks
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The daily equity cycle has been consolidating above the 50 day MA and below the previous daily cycle high for the past month.

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Stocks broke above the previous daily cycle high on Tuesday, as it poked above the 1900 level. Stocks abruptly reversed and formed a swing high on Wednesday. Stocks have now tested support at the 50 MA multiple times. Since stocks broke below the daily cycle trend line on Thursday, I expect to see stocks lose the 50 MA next week and then continue to decline into a daily cycle low.

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The Weekend Report discusses Dollar, Stocks, Gold, Miners, The CRB Index, & Bonds in terms of daily, weekly and yearly cycles.
Also included in the Weekend Report is the Likesmoney CycleTracker

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For subscribers: the full Weekend Report can be found at Likesmoney Subscription Services at http://likesmoney.wordpress.com/

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