It is these projections/retracements that take everyone else’ generic open range study several steps beyond into our proprietary CM RoadMap measurement tool. Now there are defined, statistically probable price objectives which are met on an intraday basis more often than not (i.e. majority of times over time) for you to target and exploit in several ways.
Wednesday June 19th trading session was of course the FOMC news release event. Notice how price action behaved during this split-volatility session: from sideways pinned to all-out algos gone wild. Even with that, price remained inside or below the open range (neutral to bearish, never bullish) and then clearly reacted to each CM RoadMap level below. Classic example of staying on the short side, not trapping yourself looking for longs and knowing where price should go based on its own design.
Now for most people here viewing that chart, it might seem a random act of cherry picked results to support a theory. Wrong. The great news is, everyone here reading these words including you can backtest this price study with absolute precision to the exact tick for everyone alike. Merely set your Fib retracement bracket as noted, sit down at your chosen chart(s) with a snack and refreshing drink, and spend some time measuring each & every session for calendar months at a time to record results.
I already know what you’ll discover, it is a sure thing. But the important step is for each trader to measure & weigh for themselves in order to build a belief system that it works. Another fact I know for sure is that relatively few traders who see this information will actually make it part of their own daily trend-filter approach. There are numerous psychological reasons why that is true, but it is indeed true. Nevertheless, that means nothing to the eternal effectiveness of this chart filter study and what it can do for you.