Cycle Trading

Stocks delivered bullish signals on Monday.

When stocks closed below the 10 day 10 MA on Friday, that opened the door to a possible left translated daily cycle formation. But stocks negated Friday’s close by closing above the 10 day MA and above the upper daily cycle band on Monday.

Stocks have been in a daily uptrend. Forming a swing low above the lower daily cycle signals that stocks will remain in their daily uptrend and trigger a cycle band buy signal. 

And a close back above the 3940 resistance level will signal a resumption the intermediate cycle advance.