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Old 04-06-2008, 04:46 PM
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Re: SPY Daily Composite

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The Market Analyst software isn't required for the standard deviation calculations. Barros states that the 12.5/87.5% fibonaccis make for a good approximation of 3rd STD, as does the 33/66% for value (1st STD).

nic
nic,
Where do you get the Fib Ratio of 87.5% ? The closest ones I know are 78.6% and 88.6%.
One would arrive at 78.6% by taking the reciprical of 61.8% which is 161.8%, taking its Square Root equals 127.2%, then take the reciprical again equals 78.6%.
And 88.6% is simply the Square Root of 78.6%.

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