
Chart 11 - The following chart shows that as the weekly cycles  were  risingfrom bottom to top, five of the six trading cycle bottoms retraced at  least38%. Only one retraced more than 62%.
      This retracement range is significant  in  trending  markets,  in  allmarkets and time frames, and can be used as a component of a  Cycle  TradingPattern. But there is more to it.      After  the  two  W  tops,  the   trading   cycle   retracements   weresignificantly greater than 62%. This is a common pattern. Following  several38% – 62% retracements  in  an  uptrending  market,  a  close  below  a  62%retracement will frequently signify a trend  reversal.  Therefore,  you  canuse this retracement range to      • Buy trading cycle bottoms in an uptrend within this range, and      • After an extended up move consider a close below a 62% as a  strong        warning that a trend reversal is occurring.