Gold broke below the day 5 low on Tuesday, to extend its daily cycle decline.
Since printing the day 55 low, gold has traded sideways, which allowed it to catch up to the 10 day MA. Tuesday was day 63, placing gold very deep in its timing band for a DCL. Tuesday’s bullish reversal helps to ease the parameters for forming a daily swing low. A break above 1779.20 will form a swing low. Then a close above the 10 day MA will signal the DCL.