Fibonacci is a powerful tool for predicting support and resistance!
Key Retracement Levels:- 23.6%: Shallow Retracement
- 38.2%: Normal Retracement
- 50%: Moderate Retracement
- 61.8%: Golden Ratio Level
- 78.6%: Deep Retracement
- Identify clear highs and lows
- Draw from the low to the high (uptrend)
- Observe where the price finds support
- 61.8% is the most critical level
- Confirm with candlestick patterns
- Multiple overlapping Fibonacci areas are more effective
- Not always effective
- Should be combined with other analyses
- More accurate in trending markets
Do you often use Fibonacci?
