Swing Trading Examples Using Cycle Timing and Price Structure
- May 17
- 6 min read
Most swing trading strategies focus on spotting visual patterns—flags, pennants, wedges—without understanding the bigger picture. But Steve’s method is different. It’s built on cycle timing and price structure, not guesswork or surface-level signals.
When you trade with cycle awareness, you don’t chase breakouts. You wait for alignment—where price, timing, and structure converge. That’s where true swing setups emerge: clear, disciplined trades with defined risk and cycle-based logic.
Let’s walk through a few real-world style swing trading examples that show how this plays out.
Example 1: Buying a Pullback to the 10-Day Average During a Rising Intermediate Cycle
In this example, SPY is trending higher with intermediate and long-term cycles in alignment. After a strong move up, price retraces over a few sessions, landing near the rising 10-day moving average. Short-term cycles begin to dip, but the structure remains intact.
A valid entry forms when price respects the 10-day average intraday and closes strong, without breaking below the most recent swing low. This aligns with a projected short-term cycle turn, reinforcing the idea that the move is a reset, not a reversal.
Traders can enter partially near the average and scale in on strength. A stop is placed just under the swing low or the moving average itself. This keeps risk defined and positioned within the framework of cycle support.
The power of this setup lies in the fact that it’s not a reaction to volatility, but a planned entry into a continuation move based on timing, not appearance. The pullback is a cycle reset—not a breakdown. The trade aligns with structure and timing, not just visual cues.
Example 2: Sideways Consolidation Within a Bullish Channel
Here, QQQ makes a new high and begins trading sideways for several sessions. Despite the pause, price stays within the upper half of a rising 10-day price channel, and the intermediate cycle remains bullish.
Short-term weakness is evident, but no major structural breakdown occurs. Volume stays steady, and price avoids closing below short-term crossover levels. These clues suggest the market is consolidating recent gains, not reversing.
A valid trade comes on a breakout above the range with a strong daily close. The entry is taken on the breakout, with a stop below the midpoint of the consolidation range. The target is a new short-term high or upper resistance channel.
This type of structure allows the market to reset without collapsing, giving swing traders a clear opportunity to participate in a continuation move with measured risk. Sideways ranges during a bullish cycle allow the market to digest gains. You’re not guessing when the breakout comes—you’re watching where cycles stay strong.
Check our post on Bullish Continuation Patterns That Align with Intermediate Cycle Timing for more info.
Example 3: Reversal Near the Bottom of a Price Channel + Short-Term Cycle Turn
Setup:
SPX declines over several sessions.
Intermediate cycle is still bullish but near mid-phase.
Price reaches lower edge of 10/20 price channel.
Composite short-term cycle projects a turn window.
What Confirms the Trade:
Strong intraday reversal bar off channel support.
Holding above the 2/3 or 3/5 crossover levels.
No breakdown in long-term cycle direction.
How to Trade It:
Initiate on the reversal day with a stop just below the channel.
Hold into the early stage of the next short-term up cycle.
Consider scaling out as the short-term cycle peaks.
Why It Works:
You’re not buying weakness—you’re buying defined support, paired with a timing turn. No guessing. Just structure plus rhythm.
Example 4: Exiting a Swing Trade with Cycle Peaks and Visualizer Turns
Setup:
You're already long from a cycle-aligned entry.
Price moves steadily upward and reaches the upper price channel.
The Visualizer projects a short-term cycle top within 1–2 sessions.
What Confirms the Exit:
Momentum indicators begin to fade.
Price stalls or forms smaller candles near prior resistance.
Visualizer confirms we are entering the upper reversal zone.
How to Manage It:
Begin scaling out of the trade as the turn window arrives.
Close the position fully if price fails to push higher into the turn.
Hold only if structure breaks out and timing allows for short-term extension.
Why It Works:
Exiting at a projected cycle high lets you capture the meat of the move, avoiding overstaying and reducing exposure before likely volatility.
When Swing Trades Fail—And Why That’s OK
Even with solid cycle alignment and structural logic, not every swing trade plays out. Sometimes, the market rolls early. Other times, short-term volatility knocks out well-placed stops. This doesn’t mean the strategy is broken—it means the market is dynamic.
Failed swing trades typically show up when a projected cycle turn fails to materialize, or when price closes below crossover support soon after entry. A reversal bar may form, but follow-through is absent.
Rather than holding and hoping, cycle-aware traders exit quickly, reassess, and adapt. That’s the strength of a rules-based approach. The loss is small, controlled, and absorbed into a larger win/loss framework.
Even better, failed setups often point to new opportunities. When structure breaks, it reveals a shift in momentum—potentially offering a fresh setup in the opposite direction or a second-chance entry after new structure forms.
The lesson? Good traders don’t avoid losses. They manage them quickly and prepare for what comes next.
People Also Ask About Swing Trading Examples
What is swing trading with cycle timing?
Swing trading with cycle timing involves identifying short- to intermediate-term reversals based on time-based projections rather than visual patterns. It allows you to anticipate turns before the crowd reacts, often buying near cycle lows and exiting near peaks. By using projected timing windows, you trade from a place of structure and rhythm, not guesswork.
How do I know if a pullback is a swing trade or a trend break?
Check the direction of the intermediate and long-term cycles. If they remain upward and price is near a crossover or channel support level, it’s likely a swing setup—not a breakdown. Use cycle timing tools to confirm whether the decline is exhaustion or structural failure. Also, monitor whether price respects or violates key crossover levels.
What moving averages work best for swing trading?
Steve’s system uses 2/3, 3/5, 10-day, and 20-day crossovers as key swing guides. They act as zones—not fixed lines—and are best used in context with cycle phase and price channel slope. These crossover averages help determine when price is simply consolidating vs. structurally turning.
Should I enter at the exact bottom of the pullback?
You don’t need to. Instead, enter near structural support—like crossover zones or channel bottoms—and use confirmation (reversal bars, strong closes, or cycle timing turns). A good entry is one where risk is defined, not one that guesses the low. Even if you’re late by one candle, timing still favors the trade if structure holds.
How long should swing trades be held?
It depends on the cycle. Short-term cycle trades might last 3–7 sessions. Intermediate-cycle trades could stretch for 2–3 weeks. The key is using cycle timing projections and structure to define exits—not arbitrary rules. You’re not holding because you’re hopeful—you’re holding because the timing still supports it.
Resolution to the Problem
Most swing traders struggle because they rely on lagging indicators or visual formations that don’t account for market rhythm. They buy breakouts too late or sell dips too early.
Steve’s framework solves this by:
Anchoring trades in cycle timing
Using price channels and crossover zones for structure
Avoiding noise from chart patterns or emotional moves
By learning to align entries with rising cycles and confirmed structure, traders gain confidence, discipline, and a repeatable edge.
Join Market Turning Points
Ready to swing trade with timing and structure—not guesswork?
At Market Turning Points, we provide:
Live cycle projections and timing windows
Daily crossover average insights
Clear entry zones based on price channel reactions
Don’t just trade. Time the swings with precision.
Conclusion
Swing trading isn’t about fast action—it’s about smart action.
By using examples grounded in cycle timing and price structure, you learn to trade the rhythm of the market—not the noise. No patterns. No guessing. Just clarity, discipline, and repeatable structure.
That’s what real swing trading looks like when it’s built to last.
Author, Steve Swanson
