Cycle Trading

With market leader Apple dropping 2.84% on Monday, stocks demonstrated resilience by gaining over a half of percent.

Stocks have closed above the declining trend line to confirm the new daily cycle. I also believe that 10/29/18 will turn out to be the intermediate cycle low. However, stocks continue to print large Selling on Strength days, printing another 1054 SOS on Monday. So far stocks have printed over 2.5 billion in Selling on Strength since emerging from the 10/29/18 cycle low. Some of the volatility can be associated with Tuesday’s election. But with these kind of numbers, I am beginning to wonder if stocks are signaling that the 4 year cycle top is near.