Fibonacci retracement

Beginners’ Fibonacci Retracement Trading Guide

Use Fibonacci retracement. Market traders identify trend support and resistance using Fibonacci.

Define Fibonacci Retracement.

Tool for technical analysis Dealers identify price trend retracements using Fibonacci. The sequence was devised by Lio Fibonacci in the 13th century.

Fibonacci retracement finds crucial levels using sequence ratios. Most Fibonacci retracements are 38.2%, 50%, 61.8%.

Fibonacci Retracement

Fibonacci retracement is easy. Trades entail price trend detection. Rise and decline are market impacts.

Trend traders may use Fibonacci. High-low trend. Auto-charts 38.2%, 50%, 61.8% Fibonacci.

Variable levels. When an upswing retraces, Fibonacci levels may attract buyers or sellers. Below Fibonacci, shorts may sell.

Fibonacci Retracement Limits

They may employ Fibonacci retracement. Its limitations are typical of technical analysis tools.

Slow Fibonacci retracements hurt. Price fluctuations may not be predicted by history. Retracement indicators like Fibonacci may confirm trades.

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