please explain why this would occur, page-33

  1. 3,904 Posts.
    the GOOGY eggs are like Fibonacci levels in the West. If anything causes clustering of prices in anything away from a perfect normal distribution it forms support and resistance levels.

    So if for whatever reason even a small percentage of buyers and sellers set their price according to some belief or rule then that in turn reinforces the "rule".

    Basically it is a positive feedback loop.
 
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