Bullish Uptrend

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The daily equity cycle has been forming a mini triangle consolidation since peaking last Thursday which was day 19.

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Stocks are currently on day 24 for their daily cycle. That is 6 days shy of the normal timing band for a daily cycle low. Closing below the 10 day MA along with the bearish TSI divergence suggest that stocks are setting up for completing their daily cycle decline.

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So if stock break bearishly to complete their daily cycle decline the bigger picture is that stocks are in a daily uptrend. This uptrend is characterized by peaks above the upper daily cycle band and lows forming above the lower daily cycle band. So even is stocks decline into a daily cycle low, they will remain in their daily uptrend until they close below the lower daily cycle band.

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One thought on “Bullish Uptrend

  1. Pingback: Stocks Form Bearish Reversal | Cycle Trading

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