Monday, February 23, 2009

Leonardo of Pisa "Fibonacci" - 12th. Century Italian Mathematician
2D, 10 min. - Feb. 20 - High/Low Resistance and Support is identified for the last five days and boiled down to two days.  Fibonacci retracement lines are drawn as above.  "Critical" level is 50% as to whether move is sustained or not.  That is around the 78.00 mark.  If the SPY goes above 61.8% (78.51) there is a high likelihood that the upward trend will be sustained.  If it drops back below 38.1% (77.48) it is more likely to fail and go lower.  Also note that this activity is all within the Devil's Den and caution is advised.  We still have a Bear Potato intact.

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