Yup, you got me. There’s no such thing. I just made it up. I have a fondness for using Exponential Moving Averages in my trades. The apple of my eye: the 4-day EMA .

What is the  EMA  Flight Cycle?
It is composed of three parts:
1) The RSI Bullish Divergence – initiates the cycle. The presence of the RSI bullish divergence is a prerequisite for the 4-day EMA Flight Cycle.

2) The  Runway (4-day EMA ) –  After or during a bullish divergence, price steps on top of   EMA 4.    Prices  must close on top of 4-day EMA   for a period of at least 3 days. When that happens, it is time to make an initial BUY.  A solid confirmation for this buy is when EMA 4 and EMA 8 crossover on top of EMA 21. Additional buys could be made here.

3) The Flight – Occurs as buyers become more aggressive and a price spike occurs.  This spike pushes the price away from the 4-day EMA . The post-action is a return to the runway in terms of a consolidation in price or in time.

The cycle could occur over and over again, and the prices must stay on top of the 4-day EMA all throughout. You know the cycle of cycles has ended when the price drops below the  4-day  EMA  . By then it’s time to SELL.

Here is an example of one completed cycle: BEL

BEL- EOD July 22, 2015 One complete cycle
BEL- EOD July 22, 2015
One complete cycle

Here us another example showing two completed cycles: YEHEY

YEHEY EOD July 22, 2015 Two complete cycles
YEHEY EOD July 22, 2015
Two complete cycles

Another example showing a cycle of cycles: MIC

MIC EOD July 22, 2015 A cycle of cycles
MIC EOD July 22, 2015
A cycle of cycles

One last example: EMA  Flight Cycle in the making: DAVIN

DAVIN EOD July 22, 2015- an incomplete cycle
DAVIN EOD July 22, 2015- an incomplete cycle
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