Dollar Confirms New Daily Cycle

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The dollar printed its lowest point on Monday, following the peak from day 2. Monday was only day 15, placing the buck 3 days shy of entering its timing band to print a daily cycle low. We acknowledged on Monday that due to the extended intermediate decline, the selling could exhaust itself allowing the dollar to form an early daily cycle low.

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The dollar formed a swing low on Wednesday. Thursday saw the dollar close above the lower daily cycle band and breached the declining trend line to confirm today as day 2 of the new daily cycle. In the Weekend Report we will discuss why I think that the dollar may be leaving behind its yearly cycle low.

Stocks are still seeking out their daily cycle low.

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Monday’s swing low was negated by stocks breaking lower Tuesday & Wednesday. While stocks closed marginally lower on Thursday, Wednesday remains as the lowest point following the day 47 peak. Stocks are deep in their timing band for a daily cycle low. A swing low and break of the declining trend line will confirm the new daily cycle. A break above 2060.30 forms a daily swing low.

Despite the near 2 week decline, stocks are still in a daily uptrend. Stocks will remain in the daily uptrend unless they close below the lower daily cycle band.

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