Gary, thanks for your question, it tells me that you have studied the chart in detail and a lengthy explaination is in order.
The key to the chart is the orphan candle stick and the two congestion centers.
The center of the entire pattern is somewhere between the two congestion center and very likely near the center of the orphan candlestick.
In fact exactly in the middle of the orphan candlestick would be the likely spot.
This comes to your question, by placing the 50% area in the center of the orphan candlestick to the zero part of the fib tool will tell you were the likely bottom should be, this is why the zero% in under the dates, it is because the 50% was in the center of the orphan candlestick and between the two congestion centers.
If you notice closely the 50% area is not is the exact center of the orphan candlestick, I moved it down slightly because of the gap. Gaps throw off projection by about the amount of the gap.
If it plays out the bottom should be close to where I have placed the zero line.
Notice on the chart also the 13 and 34 moving averages notice how price reversed off of them, we may see the market start a down move for a few weeks from here.
It will be interesting to see how the chart plays out during the year, look back on it from time to time, it is a up dating chart, |
