Cycle Trading

The daily equity cycle is beginning to gain traction.

Stocks have formed a swing low, closed above the declining trend line and now have started to turn the 10 day MA higher. All of this confirms that day 34 hosted the DCL

And the Transports are getting in gear.

The Transports printed their lowest point last week on day 38, placing them in their timing band for a daily cycle low. Thursday the Transports finally formed a swing low. They also closed above the declining trend line and are beginning to turn the day 10 MA higher to confirm the new daily cycle.

The next roadblock for both stocks and the Transports we will be to close above the declining 50 day MA.