Fibonacci GONE WILD

Sign of trend continuation.

Will it bounce or break?

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Topped out for the week perhaps??

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While checking my charts I ran across this old one. Notice how price made a double bottom at the 261 ext. From studying charts in the past, this is normally a VERY bullish sign. However, price is attempting to complete a head and shoulders formation (not textbook, but one nonetheless). So we are yet faced again with the "is it is, or is it ain't" dilemma.

The pitchfork in the 4HR chart I posted earlier is currently holding up price. The 261 ext may very well be the last barrier to keep the onslaught of the H&S formation from happening (which also happens to coincide with the 23% fib on the 4HR).

(4HR chart) http://www.forexfactory.com/showpost...&postcount=362

Something worthy to keep your eye on....

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Might as well prepare on the hourly for a break either way.

The pitchfork in this chart is to replace the one I had drawn on the hourly since it seems price is responding to it in a similar manner on a larger timeframe.

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As you can see, price has lots of potential support in the same general area with the pitchfork on the daily and the two fib lines on the 4HR. You also have the 0.9950 price level. A strong break below all this potential support would speak volumes.

The proof is sho' nuff in the pudding.

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