Cycle Trading

The Miners closed below the 50 week MA and broke below the week 14 low last week to extend its intermediate cycle decline. Instead of delivering bearish follow through, the Miners rallied on Monday.

Last week was week 19. That places the Miners in their timing band for an ICL. A close above the 50 week MA will signal a new intermediate cycle. We would need to wait for a close above the 10 week MA to label week 19 as the ICL. However, long positions could be entered with a close above the 50 week MA with a stop being placed below the 50 week MA.