Cycle Trading

The following are some bullish set-ups that caught my attention.

Since late January DRI has been in a daily uptrend that has been characterized by highs forming above the upper daily cycle band and lows forming above the lower daily cycle band. DRI formed a swing low on Thursday, closing above both the 10 day MA and the upper daily cycle band, then delivered bullish follow through on Friday. Forming a swing low above the lower daily cycle band signals that DRI will remain in its daily uptrend and triggers a cycle band buy signal.

DRI did get a bit stretched above the 10 day MA, similar to early February. Waiting on a tag of the 10 day MA may result in a better entry.

NSA has also been in a daily uptrend that has been characterized by highs forming above the upper daily cycle band and lows forming above the lower daily cycle band. NSA formed a swing low on Friday, closing above both the 10 day MA and the upper daily cycle band. Forming a swing low above the lower daily cycle band signals that NSA will remain in its daily uptrend and triggers a cycle band buy signal.

BIDU backtested a former consolidation zone and the 200 day MA. It formed a bullish reversal on massive volume. A position can be started on a swing low and added to with a close above the 50 day MA.