A Miner Change In Character

The Miners are beginning to consolidate below the 50 day MA.

The initial rally out of the daily cycle low caused the Miners to become stretched above the 10 day MA. Consolidating below the 50 day MA is allowing the 10 day MA to catch up to price. Notice how RSI 05 is beginning to become embedded in overbought.

Previously RSI 05 was embedding in oversold and reversed quickly once overbought, which is characteristic of the declining phase of the intermediate cycle. RSI embedding in overbought is a signal that the Miners are starting the advancing phase of a new intermediate cycle. The Miners will need to close above the 50 day MA in order for a trending move to be sustained. 

1 thought on “A Miner Change In Character

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.