The Miners printed their lowest point on Thursday after peaking back in February. While the daily cycle count for Miners has become obscured, either count places Thursday in the timing band or very late in the timing band for a daily cycle low.
The Miners did form a swing low on Friday. Our preferred tool for confirming a new daily cycle is a trend line break. But with the declining trend line over 14% above price we then look for a close above the 10 day MA, which marginally occurred on Monday. Had the rally out of Thursday’s low been more robust then I would be inclined to label it as a DCL. I suspect that the Miners will print one more lower low in order to form its impending daily cycle low.
And we have the dollar rallying out of a low to thank for this Miner conundrum.
The dollar’s daily cycle peaked on day 19 and then began its daily cycle decline. The dollar found support at the 50 day MA and printed a swing low on Tuesday. Monday was day 26, placing the dollar in its timing band for a daily cycle low. A close above the declining trend line will confirm Monday as the DCL.