Miner Concerns

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The Miners formed a swing high on Friday, which signaled a daily cycle decline. Monday saw the Miners break below the 10 day MA before recovering and closing up for the day.

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A decline into a daily cycle low should see the Miners break below the daily cycle trend line. At day 26, the Miners are beginning to get into the latter part of their timing band for a daily cycle low. But we could still see the Miners print a lower low.

And if the Miners break much lower it could trigger a weekly sell signal.

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The Miner’s intermediate cycle has just formed a weekly swing high today. While a weekly swing high does not necessitate in intermediate cycle decline, an intermediate cycle decline does not begin until this is a weekly swing high.

We need to keep in mind that the weekly cycle has not broke the pattern of lower highs and lower lows. Another concern is last week the Miners printed a bearish reversal right at the 50 week MA. Last week was week 11 for the intermediate Miner cycle. A peak at week 11 could still result in a left translated, failed weekly cycle. One thing to watch is the weekly CCI. A bearish cross of the 70 line has been a reliable indicator of the intermediate cycle decline. Should that occur this week that would signal 6 to 12 more weeks of decline for the Miners.

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