LLOY

This could hit the 50p resistance today that was discussed below.

I'm tempted to sell some stock I've held for quite a while at a loss with a view to buy back at a lower price. Decisions decisions.

Amo
yep thats how you do the fibs



Click on image to make larger

Thanks for your thoughts as always Jackozy. Another thing I noticed was if you set up a fib from 21 sep 2010 extreme high which was 79.3 to the extreme low at 23 jan 2012 which was 21.5 you will find 50% retrace pretty much exactly hits the 50p mark.

Would this be a valid use of Fibonacci retracement over a long term period to show strong resistance at this point?

Amo, bang on IMHO but not quite for the right reason. The breakout was from 37.84 and it successfully backtested as shown:



dl.dropbox.com/u/20815047/LLOYdaily06_11_12.gif

This has also been a beauty as far as the EWT/Fib discussion since it retraced 78.6% before breaking out and providing a 161.8% wave 3 target at the natural resistance of 50p. Wave 5 could take this to fill the gap to complete an almost perfect series of waves.

Nice spot mate and well done!

PS After 50p look for a retrace to the 41p area before a long to the gap (IMHO)

I noticed we have a breakout of long term resistance. Any charts or thoughts from our TA experts as I'm seeing 50 from here?

Sorry no charts just yet.