Cycle Trading

Thursday was day 28 for the daily gold cycle. That places gold in its timing band for a daily cycle low. Gold closed below the 10 day MA on Thursday. Closing below the 10 day MA is a signal that gold is beginning its daily cycle decline. Once gold begins its daily cycle decline, there will be implications for its weekly cycle.

Gold is now on week 17 for the intermediate cycle. There are bearish divergences developing on the weekly oscillators that often precede a cycle decline. A weekly swing high and a break below the weekly trend line will indicate that gold has begun its intermediate date cycle decline. A break below 1779.20 will form a weekly swing high.