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Understanding Estradiol Levels and Ovarian Cysts After Uterine Issues


Question
I am 27, have no children, and my last period was more than a year ago.  I've been through a D&C, Laparoscopy (which diagnosed Endo Stage 2), hysterosalpinogram, Lupron Depot, hysteroscopy, and IVP (my kidneys are beautiful despite my uterine anomalies).
I had some blood work done on Friday a week ago. I went to the doc on Monday. He said my estradiol level was 110 and that I had a cyst on my ovary that he saw during a sonagram.  He is ordering more blood work for next Wednesday to check my progesterone again.  Says he thinks I'm showing signs of ovulation (finally) and he wants to check my levels again next week.  The nurse says a cyst on my ovary is a good thing because it means that my ovaries are functioning again.  
What do all of these levels mean?  If my level is at 110 and the doc was excited, what levels do you have to have if you're ovulating or pregnant?

Answer
Estrodiol level is not an indication of ovulation. HOwever, it does mean that the ovaries are, indeed, working. A more accurate test for ovulation is a combination of progesterone levels, basal body temperature elevation, and LH (luteinizing hormone) surge.