Back on January 8th we took a look at the Miners bullish behavior. I thought that it would be interesting to see what we were looking at back then and then compare it to what is currently unfolding.
Back on January 8th we made the observation that the Miners behavior was changing.
The Miners were beginning to behave bullishly, as evidence by closing above the upper daily cycle band. That signaled an end to the daily downtrend and the beginning of a new daily uptrend.
Now let’s look at the current daily chart.
The Miners continued to close above the upper daily cycle band until day 24, where it closed below the upper daily cycle band. While 24 days does place the Miners in their timing band for a daily cycle low, the shallow pullback along with expecting a dollar rally had me skeptical, at the time, that a daily cycle low printed.
The Miners went on and tested the 200 day MA last Wednesday and printed a bearish reversal, which eased the parameters for forming a swing high. It seemed that the Miners were ready to decline into a daily cycle low. Then the Miners closed above the 200 day MA on Monday. That has negated last Wednesday’s bearish reversal and indicates that day 24 did host a daily cycle low.
So while it is unclear if day 24 hosted a daily cycle low, what is clear is that the Miners are continuing the bullish behavior by maintaining their daily uptrend. They will remain in a daily uptrend as long as they do not close below the lower daily cycle band.