Stocks formed a swing low on Tuesday.
Tuesday was day 12 for the daily equity cycle. Stocks have been closing above the upper daily cycle band to indicate that they are in a daily uptrend. Tuesday’s swing low formed above the lower daily cycle band which triggers a cycle band buy signal so stops can be set below the Monday pivot.
So while stocks remain in their daily uptrend, there are sectors that have begun a daily downtrend.
The Russell, the Financials and the Transports have all begun a daily downtrend which could be heralding pending weakness for stocks.
Cycle Trading 
Leave a comment