Cycle Trading

The Dollar

The dollar pierced the declining trend line to confirm that Friday was day 11 of the new daily cycle.

The new high on day 11 begins to shift the odds towards a right translated daily cycle formation which would indicate that an intermediate cycle low has formed. Still, the dollar is in a daily downtrend. If the dollar forms a swing high below the upper daily cycle band it will remain in its d daily downtrend.

Stocks

Stocks volatility continued into Friday, where stocks broke below the previous daily cycle low to form a failed daily cycle and confirm the intermediate cycle decline.

Friday was day 58 for the daily equity cycle, placing stocks deep in their timing band for a DCL. Friday’s bullish reversal off the 200 day MA eases the parameters for forming a swing low. A break above 2638.67 forms a swing low to signal a new daily cycle. A break above the declining trend line will confirm the new daily cycle. Stocks have established a daily downtrend. They will remain in its downtrend unless they close above the upper daily cycle band.

Stocks did print another large Selling on Strength day on Friday. So even if Friday is the DCL, there will likely be more volatility as stocks emerge from the DCL.

The entire Weekend Report can be found at Likesmoney Subscription Services

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

For subscribers click here.

You can email me at likesmoney@gmail.com to receive a sample copy of the Weekend Report