
Chart 5 - The standard  oscillators  in  TradeStation,  SuperCharts  or  anycharting package can be overlaid on the  centered  detrend  (or  on  top  ofprices) in the search for  an  oscillator  that  tops  and  bottoms  as  thetrading cycles top and bottom. Not surprisingly, the  performance  of  theseoscillators for identifying trading cycle tops and bottoms can  be  improvedby a few simple techniques.
      To use an oscillator to identify cycle tops and bottoms look for threecharacteristics:        1. The oscillator turns when prices turn        2. The oscillator does not “wiggle” much at cycle tops and bottoms        3. The oscillator has amplitude moves that take it to the  extremes           of an allowable range as the cycles bottom and top.      Overlaid on the centered detrend (CDT) is such an oscillator. It is  aregular RSI 3 smoothed with a 3-bar moving average  called  the  RSI3M3.  Itshows the bottoms and tops of the  trading  cycle  almost  as  well  as  thecentered detrend and can be used as a mechanical trading  signal  and  cycleidentifier… And the RSI3M3 is current to the most recent price bar,  turningdown in this chart to identify the most recent trading cycle top  missed  bythe centered detrend.