Cycle Trading: Miner Reversal

The Miners formed a bullish reversal on Tuesday.

Tuesday was day 20 for the daily Miner cycle, placing the Miners in the early part of its timing band for a daily cycle low.  

The weekly chart shows that the Miners formed a weekly swing low off of the week 24 low.  They followed up by delivering bullish follow through to indicate that week 24 was the intermediate cycle low.  However, the Miners were contained by the 10 week MA and then broke below the week 24 low last week, which negated week 24 as the ICL. This week the Miners broke lower still but have now reversed and they are in the process of forming a bullish weekly reversal. This week 28 for the Miner's intermediate cycle, which is getting late in its timing band for an intermediate cycle low.  

So not only does Tuesday's bullish reversal potentially mark the daily cycle low, it also potentially marks the intermediate cycle low. Since the Miners formed a lower low this week, the earliest a weekly swing low can form will be next week. The Miners are currently in a weekly uptrend.  If a weekly swing low forms above the lower weekly cycle band then the Miners will remain in their weekly uptrend and trigger a weekly cycle band buy signal.