Just playing with a fractal idea using fibs within fibs initially the setup hadn't developed yet, so I pulled from current resistance down to support, checked overhead and to the left price history for confluence with the idea, and sure enough price action is respecting them on the money. As the chart develops I will reset the fibs to what ever the larger chart pattern begins to form.
Fibonacci Retracement
How To Trade Pullbacks Using The Fibonacci Retracement ToolHey Purpose Traders. I pray all is well. In this video, I wanted to give you a deep, but quick insight on how you can trade pullbacks using the Fibonacci Retracement Tool.
I'd love to know your thoughts and if you have any questions. Lets chat in the comment section below.
LINKUSDT The Importance of 0.886 and 0.146 Fibonacci RatiosWhy 14.6% (.146) and 88.6% (.886) are important levels on Fibonacci retracement? The 14.6 Fibonacci ratio, wich has a high mean of assertivity, is mirroned by 88.6, which has become an important entry level and stop loss in the market. 88.6 = 1 - X, X = 14.6. These are hidden levels on the standard scale. But you can add them manually.
As you can see on chart, my fave way to use the Fibonacci Retracement is setting the .50 level at the pivot point** that precedes a pullback, i.e. the lowest low of the first downtrend. The price generally tends to retrace at least to the 0.707* level, which is another hidden level. The most common case in the crypto market, according to my experiences, is the price going into the zone between 0.886 and 0.786. In many cases touching 88.6, which can be considered a conservative point for a stop loss. If the price does not retrace from this zone, then a potential trend reversal can be considered. I have considered the range between 88.6 and 78.6 to be a 'short zone', that is, a zone where I usually wait for a reversive price action, or you could say a potential reversal zone.
When price follows the trend after retracing then I consider 14.6% as my potential target. Means that tendence continues.
This complete zig zag movement is what we call a swing, upward or downward.
*0.707 (70.7%) is the square root of 0.5 Fibonacci ratio, wich is a ratio between 1 and 2.
**Pivot points (some call them "swing points") are those areas where important short term reversals take place.
Okay, let's see what happens during this trade.
Thanks for your attention.
FIBONACCI Retracement ✅✅✅‼️ Forex traders use Fibonacci retracements to pinpoint where to place orders for market entry, taking profits and stop-loss orders. Fibonacci levels are commonly used in forex trading to identify and trade off support and resistance levels. After a significant price movement up or down, the new support and resistance levels are often at or near these trend lines . Usually the price retracts to 50% or untile OTE (0.62, 0.705, 0.79) before another impulse movement occurs.
📌Fibonacci & FIBO retracement❗✳️The author of the Fibonacci series of numbers was the Italian mathematician Leonardo Pisano. The series has been known for centuries for this series of numbers: 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89 and so on until infinity. The number is calculated by the sum of the two previous numbers.
This numerical relationship has also been used on the financial markets for a century.The number Phi is of particular importance. Phi was created from the golden ratio. The golden ratio is the ratio of two numbers, the higher number is the numerator and the lower number is the denominator. The result is always around 1.618. Below is an example:
a = 0.618
b = 0.382
0.618/0.382 = 1.618
Golden Ratio: 0.618 + 0.382 = 1,000
🔶🔷It's all about resistance and support:
The Fibonacci retracement is a method of finding potential resistance and support zones in an underlying asset. It is based on the idea that a predetermined portion of a move from a price will bounce back. After that, the price will continue in the “real” direction. Often a correction corrects a Fibonacci percentage of a previous wave. From experience, the most common retracement levels are 38.2%, 50%, and 61.8%. These levels are watched by most analysts because they represent potential market reversal points.
🔴As an example, this chart depicts the rally of BITCOIN towards its ATH . The price drops right back to the 23.6%, after which the price stabilizes and continues in the uptrend
🔵The next chart shows the ETHUSDT on the 4H chart. As we see, the price is going back to the 23.6% and then 38.2% zone, but it failed to stabilize and falls to the next 50% retracement level and returned . Prices recovered and made a new high, continuing the previous uptrend.
⚪Fibonacci Analysis allows you to determine the support and resistance levels of a price correction and more importantly helps you find price targets and potential reversal points Almost in any market
for instance in the past rally for ADAUSDT, I used Fibonacci to determine the possible targets, and it exactly worked:🎯🏹
🔰How to draw Fibonacci retracements on the chart:
It is best to use candlestick shadows so that the analysis includes the extremes of market sentiment. Most of the time the difference is not significant, but sometimes it is crucial. The example below shows how the Fibonacci retracement was drawn to the shadows of the candlesticks from the trend low to high.
The measurement should be in the same direction as the price movement. After the measurement, the horizontal lines can be seen in the chart. These lines are potential support and resistance levels.
🔰Fibonacci retracement as part of trading strategy:
Fibonacci retracements can be very efficient for timing a trend. This method is often used by traders as part of trend strategy. With this strategy, traders monitor key price levels within a trend. This means they buy when the market is going up and sell when it is going down. Traders try to place orders in the same direction as the original trend (less risk). In this scenario, you assume that the price has a certain probability of bouncing off the Fibonacci levels and moving back in the direction of the main trend. In our example, the price dropped to the 38.2% level before correcting again. The probability of a turning point in the market increases sharply,
🔰Powerful and sometimes useful:
Fibonacci retracement is a powerful tool and useful because it often marks reversal points with uncanny accuracy. Because of this, it should be used in conjunction with other indicators to identify potential trading opportunities. also There are five types of trading tools that are based on Fibonacci's discovery: arcs, fans, retracements, extensions, and time zones and ... . The lines created by these Fibonacci studies are believed to signal changes in trends as the prices draw near them.
TYPES OF FIBONACCI's & WHEN TO USE THEM 📐📏
Hey traders,
In this article we will discuss two very popular Fibonacci tools:
Fibonacci retracement and extension.
1️⃣Fib.Retracement tool is applied to identify a completion point of a retracement leg within an impulse.
As you know price action has a zig-zag form.
For example, in a bullish trend, the price tends to set a higher high then retrace and set a higher low before going to the next highs.
In a bearish trend, the price tends to set a lower low and retrace to a lower high.
With retracement levels, we are trying to spot the point from where the next impulse in a bullish or bearish trend will initiate based on the last impulse leg.
Fib.levels that we will apply are:
✔️0.382
✔️0.5
✔️0.618
✔️0.786
The retracement levels will be drawn based on XA impulse leg.
From its low to high if the impulse is bullish
and from its high to low if the impulse is bearish.
From one of the above-mentioned levels, a trend-following movement will be expected.
One should apply different techniques to confirm the strength of one of these levels.
2️⃣Fib.Extension tool is applied to identify a completion point of the impulse.
In a bearish trend, the extension levels will indicate a potential level of the next lower low based on the length of the last bearish impulse.
Fib.levels that we will apply are:
✔️1.272
✔️1.414
✔️1.618
The extension levels will be drawn based on XA impulse leg.
From its low to high if the impulse is bullish
and from its high to low if the impulse is bearish.
From one of the above-mentioned levels, a retracement leg will initiate.
One should apply different techniques to confirm the strength of one of these levels.
Of course other ways of application Fib.Retracement and Extension levels exist. However, these two are the most common.
How do you use these levels?
❤️Please, support this idea with like and comment!❤️
Fib retracementDrop down your thoughts, concerns, questions.
Comment what you like about this video.
Thank you :)
I hope that i am able to give some value.
NYSE Comp: Broadening Top Potential Macro WarningThe NYSE composite has spent the last year building a classic broadening top pattern. The pattern develops as strong hands distribute to weak hands, and when it occurs, often marks a transition from bull to bear.
1. Broadening formations are relatively rare and because the pattern itself is difficult to trade systematically (as the boundaries are continually moving farther apart) aren't given a lot of attention in literature.
a. Edwards and Magee in their seminal "Technical Analysis of Stock Trends" suggest that the broadening top, as a rule, only appears near the end or in the final phases of long bull markets.
b. Shabacker in his classic "Technical Analysis and Stock Market Profits" also remarks that the pattern is rare, but extremely important, often marking an important transition from bull to bear.
2. In my experience both Shabacker and Edwards and Magee are correct. They are rare and generally very hard to trade (so I don't bother) but they do offer an important warning of a potential phase transition.
3. Note that the pattern isn't always well defined, with overthrows and underthrows of the pattern boundaries occuring regularly. This is what makes it hard to trade or design a trading strategy around.
a. The pattern is extremely compelling when it appears in individual equity charts.
As I see it, these are the important chart elements.
1. The composite broke the trendline from the March 2020 low. This changed the weekly trend from up to neutral.
2. After breaking the trendline, the Comp spent most of the next year moving laterally and tracing out a clear broadening formation, warning of a potential phase transition.
3. Over the last few weeks the Comp violated the rising trend line (marked on the chart) along the last three internal trend line lows, and accelerated to the lower boundary of the pattern.
4. I have included the 10 and 40 week moving averages. The two averages are roughly equivalent to the 50 and 200 day averages. Note that the 10 has rolled over and is moving to meet the flattened out 50. Often a narrowing between two moving averages marks an important market decision point. Its interesting that it is occuring at the very moment when the broadening formation appears to be nearing a conclusion.
5. If the market does begin to breakdown there are several initial move targets that can be constructed. I like to look for confluences of move targets and chart supports. The more the merrier.
a. I like to overlay the .382, .500 and .618% retracement targets first.
b. Next I locate chart supports. In this case, the area around the 14183 high from early 2020 can be expected to generate at least some buying interest.
c. There is also a measured move target that can be generated using the width of the broadening top, it projects to roughly 14400.
d. 14089 is the .382% Fibonacci retracement.
6. The support confluence provided by the pivot, the Fibo and the measured move suggest an initial support zone between 14089 and 14400. I would clearly watch this roughly 2% wide zone for reversal behaviors to either reduce shorts or perhaps, if the right behaviors develop, consider new longs.
But again, the MAIN point is not so much generating trading targets as recognizing the pattern as potentially a harbinger of an important trend change. This is particularly important against the context presented in the macro overview posts of the last few weeks.
Good Trading:
Stewart Taylor, CMT
Chartered Market Technician
Shared content and posted charts are intended to be used for informational and educational purposes only. The CMT Association does not offer, and this information shall not be understood or construed as, financial advice or investment recommendations. The information provided is not a substitute for advice from an investment professional. The CMT Association does not accept liability for any financial loss or damage our audience may incur.
Get major S&P trading levels through Pitchfan!Hey everyone, how are you all?
Let’s discuss Pitchfan and Fibonacci Channel on S&P 500. There are some bearish news in the market. The news includes Federal Reserve’s stance on increasing the interest rates, making investors shifting into the bond markets. Netflix down by 22%. Your trades should always respect the fundamental analysis. Don’t try to go against it.
Market Condition:
S&P Index has been in a massive uptrend, giving around 120% returns from its previous low on 20 March 2020. It has been in uptrend since March 2020, having few corrections. But, with Pitchfan, we can catch all these corrections with high accuracy.
Pitchfan
Pitchfan is a mixture of Fibonacci Fan and Pitchfork. It uses both of their levels and has some features of Gann Fan too. The red coloured line is the median line which is the main support and resistance line. The other lines have importance according to Fibonacci’s rules. Main lines are 0.382, 0.5, 0.618. We have kept 0.25 because it is the median of the red line and the 0.5 level of Fibonacci. You can use my levels through the picture in the chart.
How to draw a pitchfan?
Pitchfan is drawn at the starting of a trend. Here, the market was consolidating before entering into the uptrend. A is the the first low of the trend, B is the next high and C is the next low. It can be drawn on the higher timeframes. Refer to the image below.
How to trade these levels?
These lines are the major points where the trend reverses on the lower timeframes. We can use these levels to trade. You need to check two things to get the direction of the trade:
The current trend matches on both the higher timeframes and the lower timeframes.
The news is in the same direction as your trade.
After this, you have to get the best entry. For this, you need to get these three confirmations:
Candlestick Pattern
Fibonacci Retracement or any Chart Pattern
RSI or any other Oscillator
Check out the below chart image to get the perfect entry:
Observations:
Price will touch these lines in 70% of the cases. Price might not touch these lines in 30% of the cases due to sentiments or any other driving factor.
When price passes by any major level, it will always take a pullback on the lower timeframes. You may trail your stop loss or enter into the trade by checking out the pullback.
Targets?
Target can be the next line coming in the direction of the trade. Always have RR of 3 or more. You can always trail the stop loss after checking out for the pullback on the lower timeframes.
Always check the news before carrying your positions overnight.
S&P might bounce back from the yellow level, from the blue demand zone. If it breaks it, our target will be the red median line.
Fibonacci Channel:
Fibonacci channels gives the major turning levels too. Here, you can see the price is bouncing back from the 0.5 to 0.618 levels, and it has happened multiple times. You can take confirmations on the lower timeframes and take the trades accordingly. Do let me know if you want to learn how to make it.
Trading The 50% Retracement LevelDraw Fibonacci Retracement Level.
Wait For The Pull Back To The 50% Retracement Level.
Enter when rejection candlestick forms at the 50% Retracement Level.
Bearish Entry ExampleThis kind of price action happens all the time, you just have to spot it while it's happening so that you can plan your trade and execute. I have put this together to give you an idea of the type of things I look for in the hope that it can help you too.
Once price action has made a clear impulse to the upsides and taking out previous structure that's our first sign that the buyers are stepping in. Once we see some corrective price action we can place our fib from the high to low, mark out previous structure and identify the pattern that price is making to build a picture of where price is most likely to reverse giving us the best possible entry.
HAPPY 2022 ⚪️ 2021's RecapHello guys, Wish you're all doing fine.
Happy New Year.
Sorry I wasn't around these past few days. I was on a break during the holidays.
I decided to recap the Educational Ideas we posted in 2021.
Let's gather them all in one post and take a quick look:
First things first, Fibonacci, an excellent tool for analyzing the market:
Bollinger Bands, And how they help us with our forecasts:
RSI, Another great indicator to identify Oversold and Overbought conditions:
Parabolic SAR, to determine the break-even point or entry or exit points:
Now, this final post is where most of the great analyzers on TradingView have come together to share their educational ideas. Take a look:
How did you spend 2021? Was it a profitable year for you? Did you learn anything new? Any big losses? Please share it with us.
Weber's Law and Fibonacci Numbers: An Exploratory EssayI use Fibonacci numbers rather frequently. In fact, the Fib retracement tool is the first thing I reach for when I start on a new chart. However, explanations for how Fibonacci numbers work have always sound woolly and mystical to me. They work because "man is subject to rhythmical procedure", because there is a Golden Ratio that is hidden behind all things, because Cthulhu says so?
However, when we take a close hard look at reality, and actually whip out a ruler and measure things, we find that the Fibonacci sequence is *not* found as-is throughout reality. What we do find are *approximations*. However, this is to be expected for approximations of subjects where the rate of growth is proportional to the current size. And this is to be expected because of Weber's Law.
Weber’s law is a psychological law quantifying the perception of change in a given stimulus. The law states that the change in a stimulus that will be just noticeable is a constant ratio of the original stimulus. It has been shown not to hold for extremes of stimulation. And since I will be referencing Mike Cohn's excellent essay (1), I might as well quote his explanation of how Weber's Law apply to Fibonacci numbers:
"Imagine instead being handed a 20kg weight and a 21kg weight. They are the same one kg difference as the one and two kg weights. But you would have a much harder time identifying the heavier of the two weights. The difference from one to two kilograms is 100%. You can probably distinguish the weight of items that differ by 100%. The difference between 20 and 21kg, however, is only 5%. You probably can’t tell the difference. (I know I can’t.) And if you could, it would mean you should be able to distinguish between a 1.00 kg weight and a 1.05 kg weight, as that would also be 5%. The values in the Fibonacci sequence work well because they roughly correspond to Weber’s Law. After the two (which is 100% bigger than one), each number is about 60% larger than the preceding value. According to Weber’s Law, if we can distinguish a 60% difference in effort between two estimates, we can distinguish that same percentage difference between other estimates. So, the Fibonacci values work well because they increase by about the same proportion each time."
So, given that how we think is affected by how we perceive (2), if Weber's Law applies, the Fibonacci retracement tool works for some of us because it allows us to focus our *imagination by visualising discernible and distinct possibilities within a limited range*. This is why the common criticisms of TA, including Fibs, are valid: 1) it is an uncertain business; 2) one cannot consistently identify where levels should be placed and forecasts are prone to revision; 3) its narrative story-telling power may be stronger than its forecasting power; and 4) levels cannot be verified till they have been tested (ie passed). Let's be humble and accept the general validity of these criticisms; for if TA can be an exact science, let he produce an algorithm which could make anyone rich!
That being said, if Weber's Law apply thusly, it simply reaffirms what experience traders often exhort: that it is hard for algorithms to replace (3) the imagination and instincts of an experienced trader!
Having said that, if Weber's Law apply thusly, we ought to 1) pay attention to how other industries, eg Mike Cohn's, have adapted Fibonacci numbers to great success and ask ourselves if our approach to Fibs can be adapted accordingly; and 2) maybe more importantly, reconsider our values, assumptions, beliefs and expectations of those tools we use that are based on Fibs.
(1) www.mountaingoatsoftware.com
(2) www.frontiersin.org
(3) "Replace", not "aid".
FIBONACCI RETRACEMENT & EXTENSION | Trading Basics 📚
Hey traders,
In this video, I will teach you the basics of fib. extension & retracement.
In this lesson we will cover:
Settings for fib.retracement
Settings for fib. extension
Impulse leg & correct drawing
Application in a trending market
Let me know in a comment section if you want to see more lessons like that.
❤️Please, support this video with like and comment!❤️
🧐🧐SEE THIS BEFORE SELLING BITCOIN🤯🤯Hi Trading view Family, Theres lot of noise on social media regarding selling bitcoin, But we should see this scenario before selling bitcoin.On dailt TF we can see a trendline with fib retracement, And till now it is retraceing 0.382 level with 20 EMA support. Along that we also can have testing of 0.5,0.618 level on fibonacci retracement. And high chance is that it can take support from one of these 3 levels and continues its uptrend. So take actions carefully
Date of Analysis:-16 November 2021
Anatomy of a Day Trade: Entrances and ExitsO FGS! Dammit! They gapped it up overnight, what should I do?!?
Well what gap is this? Three weeks ago we had Initiation Gap: These often do not fill, don't short them! It's suicide, lol!
This has hallmarks of an Exhaustion Gap; it will fill intra-day or within a few sessions at most... a great short opportunity!
See my related post on gaps FYI.
But, when should you enter?! If you foolishly short it at the open be prepared to wait for hours and watch your position dwindle... ow!!
Should you buy calls at the open?! Maybe it will run higher?! Of course it CAN, but it can also run lower and gapfill quickly, within minutes.
A long position taken first thing is high risk... as are early shorts! So, when can you enter a position with reasonable expectation of profit?!
In fact, ANY position taken in the first 20 minutes of the trading day is very high risk, I do not like to open new positions right away!
So, you Watch and Wait! Looking for opportunity... in the first hour price ran higher and calls had been profitable, but we didn't take a position with no signal, we like good Risk/Reward positions with clear signals, not gambling on the opening price. After what seems like an eternity, price begins to consolidate and gives us several warning signals, first a pinbar appears, with a needle doji and tall wick followed by a red candle, a bearish signal; two spinning tops follow, but price clings to the opening price support line tenaciously as the bulls struggle to push higher... finally the price breaks below the support from the opening gap. This was the price support that market enjoyed from the open, as buy order imbalance filled, RSI weakens and money flow decreases until... price breaks under the opening price, signaling downtrend moving towards the gap. Notice how RSI moves from overbought, signaling weakness?
This is a short entry high R/R position. You can buy daily puts here with confidence they will increase in value rapidly and immediately.
You do not want to get stuck holding these dreadful instruments more than half an hour, you can see the value drain out as expiration nears!
Well we see the gap filled, not completely to yesterday's closing price, but it sold down to former resistance at the high prices from last session.
This often is all you get on a fill, it won't always close precisely! Sometimes price will dip below the gap and go negative for a few minutes. When the gap fills, you close position, we can't afford to gamble on whether it's gonna get lower or not...
Suddenly an impulsive bright green candle appears! Gosh I hope you sold those puts!
Notice how RSI has moved nearly to oversold? It's gonna bounce!!
NOW is the time we make the best money. This was the candle we saw on 7 October, pullback ran to 13 October; another one appeared on Fed day at 2PM, pullback was just minutes then it bulled up and up... these are the money makers! Learn to recognize this chart pattern and you WILL make money on option trades.
You can take a moderate sized position here, I like to trade lots of ten, when I see this candle I'm gonna start with 20-40 calls depending on cost, and add more as price moves in favor. I do not like to add when price moves away! USUALLY Dollar-Cost Averaging in options just leads to magnified losses!! The more you take the greater the loss you might experience, remember when you enter an option trade you assume the total risk for premium paid, a sudden price change can wipe out your position before you can even set up the closing trade. So risk what you are willing to lose, and no more.
After the first impulsive move, a retracement nearly always pulls price back to ~2/3 of the impulse height. Here you draw the fib extension to get your target price projection; Fib Extension tool has three buttons, first at bottom of green candle, second at top, and third at bottom of the retracement. Chart your fibo and target the 1.618 extension, this is where your calls will take you! They might take you farther, but that involves more hand-wringing, nail-biting and screen cursing while you wait and watch the time value run down! Do not hold these any longer than necessary!
So there were TWO good R/R day trades in Friday's session on 11/5. A short, and the subsequent long. You could have taken other positions, but R/R would be poor, most 'trades' without signals are just gambling. Be a trader not a gambler! Most of the time you want to stay OUT of the market!
Look, today's trades involved about two half-hours out of a 6.5 hour session! The rest was just noise and risk.
Notably, in 'Power Hour' at EOD, there was not enough bullish energy to lift price back to HOTD... this is Bearish, in a long bull run Fridays typically close at HOTD and short-covering rallies into close are typical, we didn't get that today and daily calls ran down to expiration worthlessly. You might consider taking a longer-term short in weekly or monthly contracts, to catch a move MOnday if the price weakness persists and a gap down follows the exhaustion gap up... if you dare.
Remember Buffet's rules of trading: 1) Never Lose Money. 2) Never break Rule 1.
Hopefully this post will be of some value of increasing clarity in trading. When you're in the market watching the numbers flicker it is so easy to get lost and miss the forest for the trees... Get ready for some amazing trades as this parabola rolls over and the cascade ensues... always exciting!!
Master's way to use Fibonacci ToolHello traders and dear followers!
I have not posted any idea since the start of this month but today I am back with a powerful strategy that will help your trading easy and the strategy is also very easy to apply. It works exactly as you have ever imagined/wished that God should give you.
1. A strategy that can predict the Target perfectly.
2. At the same time strategy should predict the next drop.
3. Plus strategy should also guide you through every up and down before reaching your target. LOL
We will only use the Fibonacci retracement tool and you can select Fibonacci tool from the Tool column on your left and it's inside the third option. To make it your favorite toll hit the star button.
In this strategy, you just have to find a chain of bullish candles. A chain should be of at least 3 or more continuous bullish candles and after that look for the first bearish candle and that's the first step.
Now look at the chart it's W1 btcusdt candlestick chart. If we see from 14-dec-2020 there is a set of 4 continuous bullish candles. Start the Fibonacci toll from the bottom of the bullish candle and put '0.618' Fibonacci level at the point where the first bearish candle is closed. Now Fibonacci '0' level is your target.
We can see BTC hit the Target and then drop. It's simple as that.
Let's move to the second example
The second example is the ethusdt D1 chart. In this chart, there are 2 examples. The first one has 4 continuous bullish candles and the second one has a set of 5 continuous bullish candles.
I started the Fibonacci Retracement tool from the start of bullish candles then set my Fibonacci '0.618' level at the point where the first bearish candle is closed and '0' is the Target.
We can see ETH has already achieved both targets.
In the first case of ETH it dropped after completing the target and the current one is still live means it is ready to drop soon.
You can use this tool in any timeframe.
At the beginning I gave 3 points and above you saw it complete target which was my first point and all dropped well after completing the target which was my second point and for the third point set these Fibonacci pairs the same way in any pair in 4hr or above timeframe than after that change the timeframe to 15/30/1hr timeframe and you will be amze to see how perfectly Fibonacci levels are respected.
If you want more just hit the like button and follow to stay connected.
How To Trade Fibonacci Retracements Enter where price closes near the 50% Fibonacci Retracement Level. The confluence factors are Support Resistance Level, EMA 10, EMA 20, and 50% Fibonacci Retracement.
How To Find The Best Trend Line Break and RetestWait For Price To Break Trend Line. Wait For Price To Close Below Trend Line.
Watch For A Price Action Signal To Form On The Retest. Watch For A Rejection Candlestick or a Pin Bar. In the example below, the candlestick wick protrudes through EMA 10, EMA 20, Trend Line, and 50% Fibonacci Retracement Level.
Enter at the close price of rejection candlestick. Close Price is 188.13 in this example.
Note: The best trend lines has 4 or more touches.
How To Trade Support Resistance Levels with Price Action Signal Wait for a Price Action Signal to form at the following support resistance levels.
EMA 10 Level
EMA 20 Level
Fibonacci Level
Horizontal Level
Set Target at the next support resistance level. Set Stop Loss Below EMA 20 Price and Low Price of Price Action Signal Candlestick. Enter at close price of Price Action Candlestick.
Engulfing Candlestick at Support Resistance Levels
Fib Retracement and Fib Extension Difference and UsesI am trying to learn and share what I have learned. Here is a tutorial on how to use Fib Retracement Tool and Fib Extension Tool.
How to use Fibonacci to determine a trend change or a correctionFibonacci is a great tool that I have learned to use in different trading situations. One of the great features of the Fibonacci ratios is the ability to reveal market information.
In this video, I demonstrated how you can use the Fibonacci to confirm a trend change or a retracement.
Enjoy!
How To Trade Quality Pin BarsAfter the Pin Bar Formed At The EMA 10 EMA 20, Do The Following Actions
Draw Your Fibonacci Retracement Levels
Draw Horizontal Support Levels
Enter At Pin Bar Close Price
Exit At The Previous Swing Low Level
The attributes that made this a quality Pin Bar:
Pin Bar Close Price is in the Fibonacci Retracement 50% and 38.2% Range Area
Pin Bar Close Price is in the EMA 10 EMA 20 Range Area
Pin Bar at Lower High
Downtrend
Technical Chart Of How To Trade The Pin Bar. Before and After Charts. Click on Charts.
