Cycle Trading: Miner Balance
|The previous 2 daily Miners cycle were stretched at 44 days and 45 days respectively. Since cycles tend to balance out the Miners are due for a shortened daily cycle.
The Miners peaked on day 7, formed a swing high, and then closed below the 10 day MA - managing to turn it lower to signal the daily cycle decline. The Miners printed a bullish reversal on Thursday, day 17, which is on the early end of its timing band for a daily cycle low. A break above 22.18 forms a swing low to signal a new daily cycle. And since the Miners are in a daily uptrend, if a swing low forms above the lower daily cycle band then the Miners will remain in their daily uptrend and trigger a cycle band buy signal.
A possible left translated daily dollar cycle appears to by the wind beneath the Miner's wings.
Thursday was day 10 for the daily dollar cycle. The dollar once again ran into resistance at the 97 level. Thursday's bearish reversal has eased the parameters for forming a swing high. A break below 96.77 forms a swing high to signal the daily cycle decline. And since the previous daily cycle was a shortened daily cycle that favors the current daily cycle stretching to balance out the cycle counts. Then a peak on day 10 could lead to a left translated daily cycle formation which would align with the dollar still seeking its yearly cycle low, which I plan to discuss in the Weekend Report.
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