We last week’s post, Major or Miner Resistance, we looked at how the Miners were being turned back at the 50 week MA.
Losing the 50 week MA ushered in the last 2 intermediate cycle declines. And the Miners are in jeopardy of being rejected by the 50 week MA here. However, there is a bullish scenario to consider.
The daily Miner cycle peaked on day 23 and then it began its daily cycle decline. This decline is better characterized as a crawl more so than a decline. I make that distinction because crawl patterns are usually continuation patterns.
Day 29 was the lowest point following the day 23 peak. The swing low that followed the next day made it look in “real time” to be the daily cycle low. But the Miners could not break above the 200 MA.
The bullish scenario would be to see the Miners print a lower low, breaking below the day 29 low of 21.08 and then print a bullish reversal. That would extend the daily cycle out. A swing low and declining trend line break would then confirm a new daily cycle.