The dollar broke below the previous daily cycle low this morning producing a failed daily cycle.
Thursday is day 11 for the daily dollar cycle. And with a failed daily cycle, the dollar should now trend lower for the next 7 – 15 days before printing a daily cycle low. The failed daily cycle also confirms that the intermediate cycle is now in decline. And this intermediate decline should usher in the dollar’s yearly cycle low, which I plan to discuss in the Weekend Report.
And gold is responding to the dollar’s failed daily cycle.
Thursday is day 17, placing gold 1 day shy of its daily cycle timing band. If today’s bullish reversal holds, it will ease the parameters for forming a daily swing low.
Should a swing low form, it is unclear at this point if it will be a half cycle low or a daily cycle low. However gold is in a daily uptrend and will remain in an uptrend unless it closes below the lower daily cycle band.