The 20-day
cycle bottoms are indicated by the up arrows. The October low is indicated
by the two up arrows because it was also a 20-week cycle bottom. The late
January high was the top of the 20-week cycle, and prices have fallen
into a potential 20-day cycle bottom at "D". A rise above the blue setup
bar would give 70% confirmation of a daily trading cycle bottom that is
even more significant because it is also a divergent bottom in which the
price low at "D" was lower than the earlier swing low, but the oscillator
low at "D" was higher, both for the blue 10-day Bressert double stochastic
and the purple 5-day double stochastic.
A drop below
the trading cycle low on 1/13 confirms the top of the 20-week cycle. Prices
finding support at the blue EMA line is an indicator of a bottom that
will be confirmed by a rise above the high of the blue setup bar.
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