Hello all,
Price and Pattern Analysis
Today's idea is based upon a Fibonacci 88.6% retrace which can be a the beginnings of a bearish CIT. The figure is derived from the golden ratio 0.618 ie, Square Root of the ( Square Root of 0.618) = 0.886. So the 0.886 retracement of the previous MAJOR swing gives us 1.56585 being the EXACT high ( and rejection ) of the second double top. Confirmed double tops can go 200% of the previous swing ( if target 1 is taken out ) which could take us down to around 1.54853 our 2nd target.
Time Analysis
I also ran some time counts to see if the second double top had any significance. and found some interesting relationships between the swings.
1. The previous Top to Bottom Swing (A-B) is 168 Trading Hours. The number 168 is a Natural Square that repeats in nature and is derived from taking a 7 day week and multiplying it by 24 hour in a day = 168 Calendar Hours. If I was to convert that number into Degree's of a 360 Degree Circle it is sitting on 308 Degrees.
2. The next Bottom to Top Swing (B-C) is 120 Trading Hours or exactly 7 Calendar days ( Remember the previous swing? 7 Calendar days multiplied by 24 hours = 168 ). The number 120 is also sitting on 307 Degrees ( Only 1 Degree of separation from the previous swing of 308 Degrees.
So both A-B & B-C Swings have also SQUARED out in TIME ie. 168 ( 308Deg ) & 120 ( 307Deg)
3. We also have a Top to Top Time Count of 288 ( Gann regarded 144 as one of his most important discoveries ) so we have 2 cycles of 144 coming together to confirm point C as a possible important turning point.
Let's see how this evolves next week.
Price and Pattern Analysis
Today's idea is based upon a Fibonacci 88.6% retrace which can be a the beginnings of a bearish CIT. The figure is derived from the golden ratio 0.618 ie, Square Root of the ( Square Root of 0.618) = 0.886. So the 0.886 retracement of the previous MAJOR swing gives us 1.56585 being the EXACT high ( and rejection ) of the second double top. Confirmed double tops can go 200% of the previous swing ( if target 1 is taken out ) which could take us down to around 1.54853 our 2nd target.
Time Analysis
I also ran some time counts to see if the second double top had any significance. and found some interesting relationships between the swings.
1. The previous Top to Bottom Swing (A-B) is 168 Trading Hours. The number 168 is a Natural Square that repeats in nature and is derived from taking a 7 day week and multiplying it by 24 hour in a day = 168 Calendar Hours. If I was to convert that number into Degree's of a 360 Degree Circle it is sitting on 308 Degrees.
2. The next Bottom to Top Swing (B-C) is 120 Trading Hours or exactly 7 Calendar days ( Remember the previous swing? 7 Calendar days multiplied by 24 hours = 168 ). The number 120 is also sitting on 307 Degrees ( Only 1 Degree of separation from the previous swing of 308 Degrees.
So both A-B & B-C Swings have also SQUARED out in TIME ie. 168 ( 308Deg ) & 120 ( 307Deg)
3. We also have a Top to Top Time Count of 288 ( Gann regarded 144 as one of his most important discoveries ) so we have 2 cycles of 144 coming together to confirm point C as a possible important turning point.
Let's see how this evolves next week.