Rick-Its all very subjective as to where you define the range. On an intraday basis, for instance, I'll start with the initial (first 1/2 hour or so), and consider a buy if it opens low, moves up, and then retraces to the .62 pivot. Same goes on the short side if it bounces to the lower pivot point. All this is dependant on market conditions, among other things, but I find it a good way of picking a specific price point to be looking out for.
As the day moves along, other intraday support and resistance levels could become significant price points for a fibonacci range, and they often fall within the initial range. Again very subjective, and I try to use this for confirmation of other signals.
One thing I'll look for if I enter on a breakout is support or resistance at the .38 extension of the range for a likely price point for an exit.
Have to go do some yard work, but would like to continue this discussion later, looking forward to your observations. |
