Buy Signal For Energy

XLE formed a daily swing low on Tuesday.

XLE broke below both the 50 day MA and the 10 day MA to print its lowest point on Monday, day 22, placing XLE in its timing band for a DCL. XLE is in a daily uptrend. Forming a swing low above the lower daily cycle band indicates a continuation of the daily uptrend. A close above the converging 50 day MA and 10 day MA will signal a new daily cycle and trigger a cycle band buy signal.

4 thoughts on “Buy Signal For Energy

  1. What do you make of the current IC of $NYA, just on week 9 topping on week 6? I consider prior ICL on July 19, thanks to a failed DC (under the DCL on May 12).
    Should the current IC not have at least one more DC to reach at least some 16 weeks?

    • Your observations on the $NYA are good and I would draw the same conclusions.
      I do not track the NYA for cycle counts – I rely on the $SPX.
      The $SPX is apparently forming its ICL.
      I think that the $NYA will have an extended IC so to align with the new intermediate cycle on the $SPX.

  2. at a minimum pessimism should rest weigh on markets until Silver undercuts Sep low + $NYA150R goes under 40 + p/c ratio reaches 0.7 + $NYMO goes under 90 and renders a positive divergence –> FED cannot come in with a dovish speech today without compromiting itself so that a neutral stance will help pessimism do its job

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