superstition meets charts + free Fibonacci day trading strategy

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magic arts of finance

The financial markets are often portrayed as cold, logical, and ruthlessly efficient. But let’s be honest sometimes they feel more like a scene out of a fantasy novel than a spreadsheet. Traders have long whispered about strange patterns, uncanny coincidences, and borderline mystical forces shaping price action.

here as some of which i have come across :

🌕 Moon Phases and Market Moves ( sentiment )

It may sound crazy, but research papers and trader folklore alike suggest that full moons and new moons can influence investor sentiment. Some studies claim risk appetite increases around new moons, while full moons see investors turn cautious. Are we ruled by lunar cycles—or are we just night-trading zombies looking for meaning in the stars?

📊 Chart idea: Overlay the S&P 500 or Bitcoin with full moon/new moon markers—watch how eerily often turning points cluster around them.


🍂 The September Effect

Statistically, September has been the worst month for equities for over 100 years. No one knows why maybe it’s tax adjustments, portfolio rebalancing, or just collective fear. Some traders avoid opening new positions in September altogether, calling it the “Market’s Bermuda Triangle.”

لقطة

chart above shows average monthly returns of U.S stocks and September being the worst performing month..

i recently did a publication on it : https://www.tradingview.com/chart/BTCUSD/rUrBRjpQ-september-effect-why-markets-seem-to-catch-a-cold-every-fall/


🧙 The Magic of Numbers

Ever heard of the “Rule of 7,” “Golden Ratios,” or Fibonacci retracements? These mystical-sounding formulas often align eerily well with market moves. Whether it’s real order-flow dynamics or just collective belief making it true, traders treat these numbers like sacred spells.

Markets love Fibonacci retracements and extensions. Whether it’s 38.2%, 50%, or 61.8%, prices bounce and stall around these “magic ratios.” Do traders actually create the self-fulfilling prophecy by believing in it? Or is math really the language of the market gods?

لقطة

on the above chart image of CADCHF, i highlighted the trading day of 03 september 2025 and i took fib retracement from high to low of the day to give following day pivot points or important levels, see how price reacts on the 0.786 or 78.6% making the start of the most significant move for the current day from the fib level and the other notice the reaction on 0.618 or 61.8% is it perfect science or market voodoo?

example 2 :

bitcoin
لقطة

take the chart above: price climbed, touched the 23.6% retracement (the so-called 0.236 spell), and then began its sharp descent. To the uninitiated, this looks like coincidence. To Fibonacci devotees, it’s evidence that markets bend to the rhythm of sacred ratios.

23.6% → A quick rejection zone, where trend reversals often begin.

38.2% & 50% → Balance points, tested like checkpoints before continuation.


🍀 Lucky & Cursed Superstitions

Some of the strangest trading floor beliefs include:

🔮 The Friday Curse

Many traders avoid holding large positions over the weekend, especially in volatile markets like crypto or FX. The logic: markets can gap when they reopen on Monday due to news or events that happen while markets are closed. Over time, this caution has morphed into a superstition “bad things happen to open trades on Fridays.” Even if nothing mystical is going on, enough people believe it, so Friday liquidity sometimes dries up faster.

🙊 “Never Say Crash”

Similar to how actors won’t say “Macbeth” in a theater, traders avoid saying “crash” out loud, especially in bullish markets. The superstition is that simply naming the disaster can “manifest” it. While rational minds know it’s just psychology, there is a kernel of truth: negative language can amplify fear and spread panic among traders effectively becoming a self-fulfilling prophecy.

🚫 Ticker Taboos

Certain tickers or assets get reputations as cursed—think of infamous stocks that destroyed portfolios (Lehman Brothers in 2008, or meme stocks that wiped out retail traders). Some traders flat-out refuse to touch those names again, no matter how good the setup looks. It’s not unlike avoiding a blackjack table after losing your shirt there once it’s part memory, part superstition.

🧦 Trading Socks & Charms

On trading floors (and now in home offices), you’ll find lucky ties, socks, pens, or even figurines. Traders treat them like talismans to bring good fortune during the session. Statistically, socks don’t move markets but the ritual helps build confidence, and psychology is half the battle in trading. (If you’ve ever put on your “interview shirt” before a big meeting, you understand the vibe.)

🏈 The Super Bowl Indicator

لقطة
لقطة


This classic Wall Street superstition claims:

NFC team wins → Stocks rise.

AFC team wins → Stocks fall.
It started because early correlations were spooky-accurate (like 90%+ for several decades). Of course, correlation is not causation, and the pattern eventually broke. Still, it gets dusted off every February as a lighthearted market omen.

☿️ Mercury Retrograde

Astrology believers say Mercury retrograde messes with communication, travel, and technology. In trading, this gets blamed for weird market moves, glitches, or periods of irrational volatility. While pros don’t build strategies around star charts, it highlights an important truth: when markets move strangely and we can’t explain it, humans love to assign cosmic causes.

which superstitions have you heard or come across?

These superstitions blend psychology, history, and trader folklore. Even if they aren’t “real,” they influence behaviour and behaviour is what moves markets.


put together by : Pako Phutietsile as currencynerd


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