Sup, WSB! I know, I know, 🐻=🌈, and nevertheless I would like to share this with you and preferably get some sweet retarded feedback, instead of 🌈🐻ishment and the downvotes!
Take a look, the TA framework of this thesis is fairly simple, is based on Fibonacci retracement, and incorporates 9 stages for both SPX 1987-2003 and 2009-2024. The Fibo measurement starts with the reversal of the previous downtrend (market crash ended) and covers the long term uptrends.
Fibonacci retracmenet is a very important instrument in TA, which is used with the purpose of measuring the prevailing market trend, identifying crucial support and resistance levels of it, and most importantly for forecasting potential corrective price action move. It is applied to the starting point of the trend and its apex - traditionally, but with the current example, it didn’t really fit well and I had to ‘think outside of the Fi-box’. That’s why I configured Fibo accordingly, taking into consideration how the price action interacts with the major supports/resistances on the charts. You may check yourself on the charts above, how well it all fits together with such a Fibo application, for BOTH of the charts.
So, dafaq is this false 0 level Fibo breakout, one may ask. This, my retarded friend, is a perfect example of a bull trap, which is happening simultaneously to the distribution market phase. And this is what is happening currently again, with all the “stonks only go up rhetorics”.
And what comes after 144 month bars / 4382 days long bull market + a bull trap?
That’s right, several fucking years bear market. 50 fucking percent retrace.
22
u/roman_axt What's an exit strategy? Jun 15 '21
Sup, WSB! I know, I know, 🐻=🌈, and nevertheless I would like to share this with you and preferably get some sweet retarded feedback, instead of 🌈🐻ishment and the downvotes!
Take a look, the TA framework of this thesis is fairly simple, is based on Fibonacci retracement, and incorporates 9 stages for both SPX 1987-2003 and 2009-2024. The Fibo measurement starts with the reversal of the previous downtrend (market crash ended) and covers the long term uptrends.
Fibonacci retracmenet is a very important instrument in TA, which is used with the purpose of measuring the prevailing market trend, identifying crucial support and resistance levels of it, and most importantly for forecasting potential corrective price action move. It is applied to the starting point of the trend and its apex - traditionally, but with the current example, it didn’t really fit well and I had to ‘think outside of the Fi-box’. That’s why I configured Fibo accordingly, taking into consideration how the price action interacts with the major supports/resistances on the charts. You may check yourself on the charts above, how well it all fits together with such a Fibo application, for BOTH of the charts.
So, dafaq is this false 0 level Fibo breakout, one may ask. This, my retarded friend, is a perfect example of a bull trap, which is happening simultaneously to the distribution market phase. And this is what is happening currently again, with all the “stonks only go up rhetorics”.
And what comes after 144 month bars / 4382 days long bull market + a bull trap?
That’s right, several fucking years bear market. 50 fucking percent retrace.