Few things seemed to spell trouble for the U.S. dollar early this week. But then on Wednesday, the dollar gave back all of Tuesday's gains. And on the morning of Thursday, July 10, the REAL turnaround came: The EURUSD, the exchange rate between the euro and the U.S. dollar, shot straight up, giving the euro the lead. What happened, you ask? Here's a Elliott wave explanation.
Leonardo Fibonacci of Pisa was the most important mathematician of the Middle Ages. In 1202, he wrote a landmark book on arithmetic, which popularized the decimal and Hindu-Arabic numbering system that we use today. His other discovery, what we now call "Fibonacci numbers," has had a profound impact on the analysis of modern financial markets.
If you've been reading articles on Elliottwave.com for a while, chances are you probably know that Fibonacci numbers play an important role in Elliott wave analysis of commodities and other markets. How important? VERY. For example, let's look at the recent rally in Cotton futures.
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