Cycle Trading

The dollar formed a swing low on Thursday. The dollar printed its lowest point on Wednesday, day 38, placing it deep in its timing band for a DCL. The dollar closed above the 10 day MA on Friday so we will label day 38 as the DCL.  The dollar should turn the 10 day MA higher as it rallies out of its DCL. The dollar is currently in the daily downtrend.  The dollar will remain in its daily downtrend unless it closes above the upper daily cycle band 

Stocks formed a bullish reversal off support from the 10 day MA on Wednesday. Stocks formed a swing low and closed higher on Thursday. Stocks then closed higher again on Friday.  The new high on day 13 begins to shift the odds towards a right translated daily cycle formation. Stocks are currently in a strong daily uptrend.  Forming a swing low above the 10 day MA indicates a continuation of its daily uptrend and signals cycle band buy signal.