Marlo's Going To Hell NQ Swing Strategy
I know it's so simple you can't believe it! Is it magic? Is the Devil running the Stock Market!?!
Nope, what you're seeing is the all-pervasive 50% Principle in action!
www.investopedia.com...percentprinciple.asp
"It states that if an asset drops after a price increase, it will lose between 50% and 67% of recent price gains before rebounding. "
So over any given range, the retrace will test the thirds for support and resistance. NQ counts in the thousands so xx666.00! You'll see similar across smaller TFs and ranges as well using 33.34% and 66.67% retraces.
Nope, what you're seeing is the all-pervasive 50% Principle in action!
www.investopedia.com...percentprinciple.asp
"It states that if an asset drops after a price increase, it will lose between 50% and 67% of recent price gains before rebounding. "
So over any given range, the retrace will test the thirds for support and resistance. NQ counts in the thousands so xx666.00! You'll see similar across smaller TFs and ranges as well using 33.34% and 66.67% retraces.
Comment:
Here's with the XX333 added, same rule
Comment:
333 tends to be a bull retrace support and bearish extension resistance
666 tends to be a bear retrace support and bull extension ressitance
666 tends to be a bear retrace support and bull extension ressitance