The S&P 500 index on Friday is attempting to break above a level that represents a retracement of about 68% of its recent market downturn earlier this month. The so-called Fibonacci retracement level between 2,742 and 2,744, is viewed as a level that has proved elusive for the broad-market benchmark to overcome since entering correction territory, described as a decline of at least 10% from a recent peak, on Feb 8, along with the Dow Jones Industrial Average and the Nasdaq Composite Index . The Fibonacci ratio, made famous by a 13th-century mathematician named Leonardo Fibonacci of Pisa, is based on a number sequence in which the sum of two adjacent numbers forms the next higher number. The calculation is viewed by market technicians as a significant component for price discovery of an asset. Most recently, the S&P 500 was up 1.5% at 2,743, threatening to close above that technical line.
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