Cycle Trading

Stocks

We will begin the Weekend Report Preview this week with stocks.

Stocks closed below the 10 day MA on Friday to signal that the daily cycle is in decline.

Friday was day 30 for the daily equity cycle, placing stocks in their timing band for a DCL. A break of the daily cycle trend line is needed to confirm that stocks are declining into their daily cycle low. Peaking on day 27 assures us of a right translated daily cycle formation. However as we have been noting; this daily cycle has been characterized by the many Selling on Strength days. And it is these numerous Selling on Strength days that has me thinking it is possible to still see this daily cycle fail.

There have been over 3.6 billion in SOS days so far during this daily cycle. This type of huge Selling on Strength number is the type associated with an intermediate cycle decline. Therefore we need to be open to the possibility that a break of the daily cycle trend line will lead to an intermediate cycle decline. And what is developing on the weekly chart aligns with this scenario.

The Dollar

The dollar’s daily cycle peaked on July 19, formed a swing high and closed under the 10 day MA then next day setting up a left translated daily cycle formation and signaling the daily cycle decline.

That all changed this week.

The dollar broke to a new daily cycle high on Thursday and then delivered more bullish follow through on Friday. This comes as a surprise to our cycle framework. The dollar is currently in its 5th daily so therefore we were expecting this daily cycle to left translate and fail leading to the intermediate cycle decline. But the tariffs and currency wars has caused the dollar to rally. And this changes some of our framework in the larger degree cycles.

I breakdown these changes to the larger degree cycles in the Weekend Report.

This week I am running a 6 week trial subscription special.

The 6 week trial subscription will give you full access to the premium site which includes a complete breakdown of the dollar’s daily, weekly, yearly, 3 year and 15 year super cycles. The trial subscription also includes:

1) The Weekend Report, which is posted usually Saturday mornings. It discusses Dollar, Stocks, Gold, Miners, Oil, & Bonds in terms of daily, weekly and yearly cycles – Which includes the Likesmoney Cycle Tracker & the Likesmoney Trend Tracker.

2) The Mid-Week Update. Posted on Wednesday’s is a review of the daily and weekly charts for the above mentioned asset classes.

3) The Weekend Updates take a look of the daily & weekly charts of the Dax, GYX, NATGAS & XLE.

4) Weekly Update of the Bullish Percentile Bingo

5) Frequent updates of my proprietary FAS Buy/Sell Indicator

The goal of the Weekend Report is to develop an on-going framework of expectations using cycle analysis.

For the Likesmoney 6 week trial subscription please click here.

Current subscribers can access the report here.

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 a previous Weekend Report.