Cycle Trading

http://postimg.org/image/rvgxzu3dx/

Capitulation

http://postimg.org/image/x1pfdkvk3/

The volume today in the Russian ETF was over 8 times the average daily volume over the past 200 days.

http://postimg.org/image/5m30ta7xh/

Backing things out we see that the Russian ETF prints a yearly low every 9 – 15 months. December is month 9.

http://postimg.org/image/v65azptb9/

The Russian ETF tends to print an intermediate cycle low every 15 to 24 weeks. This week is week 20. And the RSX is in the process of printing a bullish reversal.

http://postimg.org/image/863914kv9/

The RSX prints a daily cycle low on average every 15 – 24 days. Tuesday is day 21 and the RSX printed a bullish reversal on historic volume.

The RSX is in the timing band for a daily, weekly and yearly cycle low. A break above 14.97 forms a swing low, signaling a new daily cycle. Russia delivered a surprise by raising its interest rates from 10.5 % to 17 % to shore up the ruble and defuse the currency crisis threatening its stricken economy.

That move may have just put a bottom to this drop.