There aren’t many useful conclusions that can be drawn with two hours of thin trading on a Sunday, but I will at least note this interesting tidbit. After the ES went plunging nearly 30 points, it actually rallied into the green. But look at the red line and how prices were rejected from it. What’s THAT all about?
Well, that’s a Fibonacci retracement level on the /ES. Whether it actually holds or not (the level is 4355) is up to what’s happening in Ukraine, but it is actually kind of fascinating. If it actually does hold, we must all tip our hats to the Fib-ster.
UPDATE: whoosh! The ES blew right through it! FYI, the next level up is 4,440.
