The dollar delivered a swing low, broke above the declining trend line and closed above the lower daily cycle band to indicate that Wednesday was day 1 for the new daily cycle.
In tonight’s Mid-Week Update I discuss that this confirmation of a new daily cycle low also signals that the dollar has also left behind an intermediate cycle low.
Stocks also delivered more bullish confirmation today.
Stocks broke above the declining cycle trend line today in a clear and convincing manner to confirm that Wednesday was day 4 of the new daily cycle. Stocks managed to stay above the upper daily cycle band during the decline into the daily cycle low. This all but confirms that stocks have left behind their yearly cycle low and most likely their 7 year cycle low.