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Technicals

50% Principle (one-half retracement)

As we observe the movements in price, it is important to understand the principle of retracement. This principle states that after a significant move in either direction, a normal correction can be expected to retrace anywhere from one-half to two-thirds of the initial advance or decline. This allows us to anticipate potential changes in the main trend and make strategic decisions accordingly. So, remember to keep an eye out for retracements in order to better navigate the market.
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