The 9/26/14 Weekend Report Preview

The Dollar

Day 26 looked in real time like the dollar printed a stealth daily cycle low. I do believe that the dollar began a new daily cycle but it looks like that daily cycle began on Wednesday.

1 $$$ DAily

The dollar broke to a new high on Monday. Then a swing high formed on Tuesday. Tuesday broke below the developing trend line which has me thinking that Tuesday printed an extended daily cycle low. Our expectation is to see this new dollar cycle form as a left translated cycle. Which means that we should see the dollar roll over on or before day 8. If I am correct that Tuesday was an extended daily cycle low that would make this coming Friday day 8. This Friday is “Jobs Friday” and we often see the dollar turn on or near a “Jobs Friday”.


The daily equity cycle peaked the previous Friday on day 30. Stocks lost the 50 day MA on Thursday only to regain it back on Friday.

21 spx daily

Stocks printed its lowest point on Thursday since the daily cycle peaked on day 30. Stocks are in their timing band to print a daily cycle low. Currently stocks would need to break above 1997.32 to form a swing low. A break of the declining trend line would then confirm a new daily cycle. Since this daily cycle has locked in a right translated nature our expectation is to see the impending new daily cycle print a higher dialy cycle high.


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