Volatility – Update

August 3, 2024

Stocks broke below the day 37 low on Friday to extend their daily cycle decline.

Friday was day 43, placing stocks deep in their timing band for a DCL. Stocks formed a reversal off the 5300 level, which eases the parameters for forming a swing low. A break above 5383.89 will form a swing low. Then a close above the 10 day MA will signal the new daily cycle. Stocks are currently in a daily downtrend. Stocks will remain in their daily downtrend unless they close back above the 10 day MA.

In the Weekend Report I will discuss the longer term intermediate and yearly cycles and the implications of the pending new daily cycle.

2 responses to “Volatility – Update”

Alexandru

August 4, 2024

what is your opinion about Transports confirming their YC decline by undercutting their May low while semis being close to do the same?

Reply
1. likesmoneystudies
  
  August 4, 2024
  
  Alexandru,
  October was the YCL for Transports.
  Undercutting the May low was a failed daily cycle that resulted in June being an ICL for Transports.
  That makes this week 7 for the intermediate cycle, the first daily cycle out of the June ICL.
  The expectation of the first daily cycle of a new intermediate cycle is to right translate.
  The high on Thursday, day 32, indicates a right translated daily cycle formation.
  Transports are now in their 2nd intermediate cycle for the year.
  Undercutting the June low would signal the yearly cycle decline.
  
  Reply

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