Cycle Trading: Steel Bottom

Steel is beginning to look interesting so I thought that we should take a look.

Steel formed a daily swing low on Thursday.

Steel printed its lowest point on Wednesday following the day 5 peak.  Wednesday was day 28, placing steel in its timing band to print a daily cycle low.  The swing low formed above the support of the 200 day MA.   So there are good odds that the day 28 hosted the daily cycle low.  A break above the declining accelerated (red dashed) trend line will provide our first confirmation of a new daily cycle.  Then a break above the declining (blue) trend line will provide final confirmation that day 28 hosted the DCL.

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