At exactly 11:00 am ET on Friday, reader Ethan S. emailed us a bizarre chart.
“OK so this a case of back fitting, I get it,” he said. “And I’m a designer not an economist, but it’s still interesting to think about…”
Smith attached this chart:
Since we received Smith’s email the Dow is down 910 points and there’s no relief in sight.
Fibonacci is a commonly used technical indicator used by chartists to determine key support and resistance levels in the financial markets. We’re not sure if it’s being used correctly here. But it doesn’t look good.