Written by:
Patrick Mikula CTA
Mikula Forecasting Company
www.MikulaForecasting.com
support@MikulaForecasting.com
Copyright © 2009 by Patrick Mikula All Rights Reserved
The Mirror Cycle is a MarketWarrior indicator that draws a reflection of past market action into the future. Some traders find it fairly easy to set the Mirror Cycle starting point while other traders find it difficult to align the Mirror Cycle starting point. In this posting I am going to show how the Mirror Cycle shows repeating market cycles. This first chart below shows a 5 minute chart for the mini Dow symbol YM. After the swing bottom that occurred at 10:00am, this market made 5 more swing tops or bottoms before the end of trading.
Mirror Cycle #1
On the chart below, I have started the Mirror Cycle near the 10:00am bottom. The Mirror Cycle projects past cycle action into the future. You can see that the cycle action of the Mirror Cycle and the cycle action of the market were basically the same for the rest of the day. To select a starting point for the Mirror Cycle, you need to have two turning points that line up after the starting point. In this case you would have been able to select the correct starting point after point “2″ was formed.
Mirror Cycle #2
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