This screen finds stocks that have rallied from a low to the 78.6% Fibonacci retracement level of the prior decline, a deep retracement and often the last line before the whole move is retraced. Fibonacci retracement levels, 23.6%, 38.2%, 50%, 61.8% and 78.6%, are drawn between a swing low and a swing high and mark where a pullback often pauses or reverses. Here the level acts as resistance, and traders watch for a rejection that would resume the downtrend.
