Cycle Trading

Oil dropped on Monday following a tweet from President Trump.

Monday was day 40 for the daily oil cycle, placing oil in its timing band for a daily cycle decline. So the over 3% drop in oil on Monday has a good chance of sending oil to seek out its daily cycle low. The peak on day 39 locks in a right translated daily cycle formation. This aligns with oil being in a daily uptrend. Once oil declines into its daily cycle low, if oil forms its swing low above the lower daily cycle band then oil will remain in its daily uptrend. And it would also trigger a cycle band uptrend buy signal.