Cycle Trading

Stocks formed a swing high and closed below the 10 day MA on Monday to signal the daily cycle decline. 

Stocks delivered bearish follow through on Tuesday. Stocks closed below the daily cycle trend line to confirm the daily cycle decline. Stocks should go on to turn the 10 day MA lower in order to complete its daily cycle decline. Tuesday was day 37, placing stocks deep in their timing band for a DCL. Stocks are currently in a daily uptrend. If they form a swing low above the lower daily cycle band that will indicate a continuation of their daily uptrend and signal a cycle band buy signal.