After peaking on day 26, Oil formed a swing high and began its daily cycle decline. Oil printed its lowest point last Tuesday. That was day 37 which placed oil right in its timing band to print a daily cycle low.
Oil formed a swing low then last Wednesday. Then went on to test the declining trend line on Friday. Oil broke above the declining trend line on Monday and delivered more bullish follow through today. This makes Tuesday day day 5 for the new daily cycle. Oil continues to close above the upper daily cycle band indicating that oil is in a daily uptrend.
And it looks that oil being in a new daily cycle is dragging stocks up along with them.
The daly equity cycle peaked on day 34. It formed a swing high on day 36 and then went on to print its lowest point last Thursday, day 38. Today stocks formed a swing low and broke above the declining trend line. While I would like to see more bullish follow through here, it appears that stocks are leaving behind a 38 day, daily cycle low.
Stocks have been closing above the upper daily cycle band which indicates that stocks remain in a daily uptrend.