Cycle Trading

The Miners closed above the declining trend line on Monday.

After peaking on January 5th, the Miners formed a swing high and has been in decline ever since. The printed their lowest point on day 67, which placed the Miners very deep in their timing band for a DCL. The Miners formed a swing low then closed above the 10 day MA last week to signal a new daily cycle. Closing above the declining trend line on Monday confirms the new daily cycle. A close above the 50 day MA would indicate a change of trend.

The big picture is that the Miner broke out above a major multi resistance level and is not backtesting that zone. A close above the 50 day MA would signal a successful backtest of the the resistance/support zone indicating that the Miners are ready for the next leg up.