This is an ongoing series of updates on how the Fibonacci retracements with the ONE44 rules and guidelines work in this market and ALL markets.
In our last update on 4/14/22 we left you with this,
As you can see on the chart the 38.2% level at 14,400 produced no bounce, it did hold the area for 3 days, but that was it. The break below 14,400 has now taken it to just short of 61.8% at 13,850, however this is close enough to complete the 61.8% target from 61.8% above based on the ONE44 Fibonacci 61.8% rule. It did hit the 13,913 major Gann square mentioned above and the rally from it was only able to get it up to 23.6% of the current break at 14,200, never a good sign. A rally from 13,850 can send it 61.8% the other way (61.8% rule) and this will be 14,700. Any rally from the current low that can not get above 38.2% at 14,400 keeps the short term trend negative and you should look for new lows. With a close below 13,850, look for 78.6% at 13,424, this is also a major Gann square.
The highs on 4/20/22 and 4/23/22 both could not get above 38.2% at 14,400 keeping the short term trend negative and the new followed. It has now had one close below 13,850 and with another one today, look for 78.6% at 13,424, this is also a major Gann square. Failing to hold the 13,424 area should send them back to the area of 13,000 to 12,850, between these levels is 23.6% back to the 2008 low, 38.2% back to the 2020 low and a major Gann square, below here, stay tuned. Provided they manage a close back above 13,850 today, look for a rally back to 38.2% of the recent break, with today's low this is 14,200.
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