Stocks Confirm The New Daily Cycle

March 12, 2019

Last week the daily equity cycle peaked on day 45, formed a swing high, then closed below the 10 day MA to confirm the daily cycle decline. Stocks went on to close below the 200 day MA and print their lowest point on Friday, day 49, placing them late in their timing band for printing a daily cycle low.

Stocks formed a swing low and recovered the 200 day MA on Monday. Stocks then closed above the 10 day MA on Tuesday to confirm the new daily cycle. Prior to the daily cycle decline stocks had established a daily uptrend that was characterized by peaks above the upper daily cycle band and lows forming above the lower daily cycle band. Since the swing low formed above the lower daily cycle band, that indicates that stocks remain in their daily uptrend and triggers a cycle band buy signal.

2 responses to “Stocks Confirm The New Daily Cycle”

Koen Huysman

March 12, 2019

Is it exspected to become a very left translated cycle and relatively short because of top forming…?

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likesmoneystudies

March 12, 2019

I am not expecting a left translated cycle at this point. As long as stocks do not close below the lower daily cycle band they will remain in their daily uptrend. And since this is the first intermediate cycle for the new yearly cycle I am expecting this weekly cycle to form as a right translated weekly cycle.

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