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Fibonacci Extension

BNB/USDT 1DInterval Resistance and SupportHello everyone, I invite you to review the chart of BNB in pair to USDT, on a one-day timeframe. First, we will use the blue lines to mark the uptrend channel in which the price is moving. Going further, we can move on to marking the places of support in the situation of returning to the correction. And here, the first support is at $ 320, the second support is at $ 300.2, the third support is at $ 284.8, and then we have strong support at $ 269.4. Looking the other way, we see that the price is testing the resistance area at $ 330.2. If it is successfully tested, the price may move towards the resistance at $ 359.6 and further to the resistance around $ 398.6. Please look at the CHOP index, which indicates that we have a lot of energy for the upcoming move, MACD indicates that we are moving in a downtrend, while the RSI, despite the recent rebound, remains at the upper end of the range, which may lead to a price correction.
by cryptodailyuk
How to Use Fibonacci ExtensionsHave you ever noticed that market movements often seem to occur in repeatable patterns? Well, that’s where Fibonacci extensions come into play. Join us in this article as we dive into the world of Fibonacci extensions and discover how they can be a strong addition to your trading arsenal. A Primer on Fibonacci Ratios Fibonacci ratios are derived from the Fibonacci sequence, where each number is the sum of the two preceding numbers. The sequence begins with 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, and so on. The primary Fibonacci ratio of 1.618, sometimes called the Golden Ratio, is found by dividing one number by the previous. 34 divided by 21, for example, roughly equals 1.619. As the sequence progresses, the ratio becomes more precise and closer to 1.618. Dividing a number by the next, such as if we divide 13 by 21, will give us a ratio of 0.618 (0.619 in the case of 13/21), also commonly used in Fibonacci retracements. Further calculations produce the Fibonacci extension levels we’re interested in: 1, 1.382, 2, 2.618, and 4.236. In trading, they’re typically expressed as percentages, like 100%, 138.2%, 200%, 261.8%, and 423.6%. What are Fibonacci Extensions? Fibonacci extensions (also known as Fibonacci expansions or Fib extensions) are a technical analysis tool that allows traders to determine potential levels of support and resistance for an asset’s price. Like regular support and resistance levels, they should be considered as areas of interest rather than where price will turn with pinpoint precision. They’re most frequently used to set profit targets, although they can also be used to find entries. Fibonacci extensions can be applied to any market, including forex, commodities, stocks, cryptocurrencies*, and more, and work across all timeframes. While not foolproof, using the Fibonacci extension tool combined with other forms of technical analysis can be an effective way to spot potential reversal points in financial markets. Fibonacci Retracements vs Extensions Both Fibonacci retracements and extensions are based on the Fibonacci sequence and the Golden Ratio, but they are used to measure different things in the market. Fibonacci retracements show support and resistance levels during a pullback from a larger move. On the other hand, Fibonacci extensions measure the potential levels of support and resistance for an asset's price after a pullback has occurred. As shown in the chart above, the Fibonacci retracement tool can be applied to identify where price may pull back to – 50% in this scenario. Then, the Fibonacci extension tool is used to plot where price could end up beyond this pullback. The 100% and 161.8% levels posed significant resistance, causing the price to reverse. It’s easy to see how both tools can be used in conjunction to build an effective strategy. Generally speaking, traders tend to enter on a pullback to one of the key retracement levels, then take profits at the extension levels. However, either tool can be used to find areas suitable for entries and exits. Fib Extensions: How to Use If you’re wondering how to use Fib extensions in your own trading, here are the steps you need to follow. 1. Click to set the first point at a major swing low if expecting bullishness or swing high if expecting bearishness. Using the Magnet mode on TickTrader may help you set it with precision. 2. Place the second point at a swing in the opposite direction. 3. Put the third point at the low of the pullback if a bullish move is expected or the high if a bearish move is expected. That’s it! You now have an idea of where price may reverse as the trend progresses, allowing you to set profit targets or plan entries. You can also double-click the tool to adjust it to your preferences, like removing certain levels and changing colours. Bullish Example In this example, we have a swing low (1) followed by a swing high (2) that makes a retracement (3). These three points are all we need to plot a Fibonacci extension. Notice that the 138.2% level didn’t hold, showing that price isn’t always guaranteed to reverse in these areas. However, the wicks and sustained moves lower at the 100% and 161.8% areas gave traders confirmation that a reversal might be inbound. Bearish Example Here, we can see that each of the three areas prompted a pullback. Some traders might not consider the 138.2% area valid to trade since it never fully hit the level. However, the easiest way to get around this is to look for confirmation with a break of the trend, as denoted by the first dotted line. Once price gets beyond that swing high (intermittently breaking the downtrend), traders have confirmation that what they’re looking at is likely the start of a reversal. Some traders subscribe to the belief that if price closes beyond a level, it’ll continue progressing to the next area. While this can sometimes be the case, it can just as easily reverse. Here, price briefly closed below the 161.8% level before continuing much higher. Making the Most of Fibonacci Extensions By now, you may have a decent understanding of what Fib extensions are and how to use them. But how do you make the most out of Fibonacci extensions? Here are two tips to maximise your chances of success. 1. Look for confirmation: Instead of blindly setting orders at extension levels, you can look for price action confirmation that price is starting to reverse at the area before taking profits or entering a position. You could do this by looking for breaks in the trend, as discussed in the example above. 2. Find confluence: Similarly, you can use other technical analysis tools like trendlines, indicators like moving averages, or even multiple Fibonacci extensions, to give you a better idea of how price will likely react at a level. Your Next Steps Now, it’s time to put your understanding to the test. Spend some time practising how to use Fibonacci extensions and try backtesting a few setups to see how you could’ve gotten involved in a trade. Once you feel you have a solid strategy, you can open an FXOpen account to start using your skills in the live market. In the meantime, why not try exploring other Fibonacci-related concepts, like Fibonacci retracements and harmonic patterns ? *At FXOpen UK and FXOpen AU, Cryptocurrency CFDs are only available for trading by those clients categorised as Professional clients under FCA Rules and Professional clients under ASIC Rules, respectively. They are not available for trading by Retail clients. This article represents FXOpen Companies’ opinion only, it should not be construed as an offer, solicitation, or recommendation with respect to FXOpen Companies’ products and services or as financial advice.
Education
by FXOpen
7
MATIC/USDT 1DInterval ReviewHello everyone, let's look at the MATIC to USDT chart on a one-day time frame. As you can see, the price is holding just above the uptrend line. Let's start with the support line and as you can see the first support in the near future is $0.95, if the support is broken then the next support is $0.80, $0.58 and $0.31. Now let's move to the resistance line, as you can see, the first resistance is $1.03, if the price breaks it, the next resistance will be $1.20, $1.43 and $1.75. Looking at the CHOP indicator, we see that most of the energy has been used, the MACD indicates entering a downtrend, however, we see a strong rebound on the RSI, which may indicate that the support point on the trend line may end the correction.
M
by cryptodailyuk
DOT/USDT 1D ReviewHello everyone, let's look at the DOT to USDT chart on a one-day time frame. As you can see, the price remains above the uptrend line. Let's start by drawing a support line. And as you can see, the price is in front of a very strong support at the so-called golden point Fib Retracement equal to $ 5.63, if the support is broken then the next support is $ 5.02 and $ 4.22. Now let's move on to the resistances that the price has to overcome. First, we have a very strong resistance zone from $6.23 to $6.54, when we manage to break it, the second resistance is $6.85, the third at $7.32 and then the fourth at $7.90. Looking at the CHOP indicator, we see that there is still some energy left, the MACD indicates a downtrend, however, the RSI is approaching the lower limit, which may indicate the approaching end of the correction.
by cryptodailyuk
HOW TO USE FIBONACCI LIKE A PRO #part1Hi there! Bolu here The Fibonacci tool is one of the most popular tools on trading view and many traders use Fibonacci on their charts. FIBS are a major part of my trading system as you can see on this chart, i use it all the time, as I have to know what structure is saying on major and minor structure to aid my analysis and entry/exit confirmations. I will be sharing how I use my FIBONACCI tool in this post and you can take some notes and add to your trading plan if you want. BASICS OF FIBONACCI In mathematics, the Fibonacci sequence is a sequence in which each number is the sum of the two preceding ones. Numbers that are part of the Fibonacci sequence are known as Fibonacci numbers, commonly denoted Fn . The sequence commonly starts from 0 and 1, although some authors start the sequence from 1 and 1 or sometimes (as did Fibonacci) from 1 and 2. Starting from 0 and 1, the first few values in the sequence are: 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144. The history of Fibonacci is all over the internet. My Job here is to show you how it can be used to your trading advantage. I majorly use the FIB retracement & FIB extension tool. Trading-view provides a whole lot of other types of FIBs, but they are not a part of my trading system, so i only focus on what is relevant to my Trading plan by keeping it simple. HOW TO USE THE FIBS It is imperative to understand that Fibonacci retracement is a tool used to measure the retrace of a counter trend based on the current trend.​e.g, After a downtrend formation, how far the correction would go would be measured with the FIBs​. while the Fibonacci extension tool is used to measure the 'length' of the continuation of that trend and is mostly used as Take profit levels IT CAN ONLY BE USED IN A TRENDING MARKET.​ You need a valid Uptrend point or Downtrend point to draw out your FIBd] Drawing out FIBs on the chart is a 3step process STEPS TO DRAW FIBS STEP 1 : SPOT A VALID BOS. STEP 2 : IDENTIFY POINT A – POINT B OF THE IMPULSE MOVE . STEP 3: DRAG FIB FROM THE HIGH TO THE LOW / LOW TO THE HIGH ​. I changed the default settings that the FIBS came with on Trading-view and replace the numbers and colors. Each FIB Percentage level means something unique on the charts and that helps with understanding what the trend is doing. The retracement levels are used to see how strong the pullback phase is. Understanding the strength of the pullback is one of the most important things to know in the trend . I will probably make another post on 'Trend strength Analysis'..., You can put it in the comments if you would like to study it with me. Now, back to our FIBs. Every FIB level is uniquely important and useful. The FIB Level that aligns with a key level of structure is ​High Probability. In the Part 2 of this post, i would share the 'secret sauce' of the FIB retracement levels and how they can be used in both Major and Minor Structure.
Education
by knowledgeforskills
BTC | AIM 32K! So, imagine you're a sniper, carefully eyeing your target through your scope. Suddenly, you notice something strange - the movements of your target seem to be following a pattern! You take a closer look and realize it's the Fibonacci sequence! As any savvy sniper knows, Fibonacci retracements can be a handy tool in trading. So you whip out your Fibonacci tool (which, for the record, looks a lot like a ruler with some fancy numbers on it), and start drawing your lines. You carefully calculate your entry and exit points, making sure to account for all the Fibonacci levels. And then, just as you're about to pull the trigger (on your trade, of course), your target moves - just like the sequence predicted! You adjust your aim slightly, recalculating your Fibonacci levels on the fly. And then, with a steady hand and a calm mind, you take the shot. The market reacts with a satisfying ka-ching, and you walk away with a tidy profit. As you pack up your gear and head off into the sunset, you can't help but think: "Sniping is all about precision and timing - just like trading with Fibonacci retracements!
Long
by xuk1
5
APPL Price Target for Bulls The price has taken out the prior high at $157.5. → The recent downtrend has officially ended. Now we look for the uptrend rhyme. → Since there is a higher low formed and a clear resistance-turned-support at level B, we can project a 100% symmetry of the prior swing from A to B and project it from C. → The level of C happens to be the 0.618 Fibonacci retracement from A to B. → The level of D can be seen as the short-term goal, and it also happens to be the 1.618 Fibonacci extension from A to B. What’s more? The level of D is also the level of the prior high on the weekly chart. On the weekly chart, you may notice there’s a big downtrend channel. And the current price is just right under the downtrend pressure. However, the price didn’t fulfill the lower boundary of the downtrend channel this time and has challenged the pressure for the fourth time. Considering all the Fibonacci level coincidences mentioned above, it’s anticipated that the breakout of this downtrend channel will unfold. What if the price goes below the level of B? → Since the level of B has already been retested and held as a support level, it shouldn’t be broken. Otherwise, the bullish rhyme will also be gone. We should wait for another clear signal to enter/re-enter a trade. **Not Financial Advice** The information contained in this article is not intended as, and should not be understood as financial advice. You should take independent financial advice from a professional who is aware of the facts and circumstances of your individual situation.
NASDAQ:AAPLLong
by stock_adelie
SILVER FUTURES Daily Technical AnalysisSI1! Daily - No RECOMMENDATION or ADVICE Status / EDUCATIONAL only - Cup and Handle, Support, Resistance, Trend Lines, Cluster, Confluence, Parallel Channels, Rectangles, Pitchfork, Fibonacci Extension - Hope it Helps, Good Luck DISCLAIMER - This communication is not trading or investment advice, recommendation or solicitation to buy, sell or hold any investment product is provided for informational, educational and research purposes only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The author or persons involved in the conception, production and distribution of this material cannot be held responsible for transactions or any financial loss or damages resulting directly or indirectly from the use or application of any concepts or information contained in or derived from this material. Past performance is not indicative of future results. Any person who chooses to use this information as a basis for their trading assumes all the liability and risk for themselves.
COMEX:SI1!
by BahamasX
Daily BTC 1DChart - LONGTERMHello everyone, I invite you to review the current situation on BTC in pair to USDT, taking into account the one-day interval. First of all, using the yellow line, it is worth marking the downtrend that the price has overcome and we are currently moving in the uptrend channel marked with blue lines. Now we can move on to marking the places of support in the event of a correction. And here we see that we have the first support at HKEX:27 ,017, when the price goes lower, the second support is at $24,821, then the third support is at HKEX:23 ,030, and below we have the fourth very strong support at HKEX:21 ,181. Looking the other way, in a similar way using the FIB Retracement tool, we can determine the places of resistance. First, we will mark the resistance zone where the price is currently from HKEX:28 ,000 to HKEX:31 ,754, when it manages to break it, the price may encounter resistance at HKEX:35 ,625, then resistance at HKEX:41 ,172 and a fourth resistance at HKEX:48 ,221. It is worth paying attention to the EMA Cross 50 and 200, as we can see when the yellow line of the EMA Cross 50 crossed the blue lines of the EMA Cross 200 from below, this confirmed the entry into an uptrend after a very long decline. Please pay attention to the CHOP index which indicates that we still have the energy to continue the move, the MACD indicator indicates a return to the uptrend, while the RSI has touched the upper limit of the range, which may affect the price going sideways or give a small rebound.
by cryptodailyuk
1
SOYBEAN FUTURES Weekly Technical AnalysisZS1! Weekly - No RECOMMENDATION or ADVICE Status / EDUCATIONAL only - Support, Resistance, Trend Lines, Cluster, Confluence, Parallel Channels, Pitchfork, Fibonacci Extension - Hope it Helps, Good Luck DISCLAIMER - This communication is not trading or investment advice, recommendation or solicitation to buy, sell or hold any investment product is provided for informational, educational and research purposes only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The author or persons involved in the conception, production and distribution of this material cannot be held responsible for transactions or any financial loss or damages resulting directly or indirectly from the use or application of any concepts or information contained in or derived from this material. Past performance is not indicative of future results. Any person who chooses to use this information as a basis for their trading assumes all the liability and risk for themselves.
CBOT:ZS1!
by BahamasX
WHEAT FUTURES Weekly Technical AnalysisZW1! Weekly - No RECOMMENDATION or ADVICE Status / EDUCATIONAL only - Support, Resistance, Trend Lines, Cluster, Confluence, Rectangles, Pitchfork, Modified Schiff Pitchfork, Fibonacci Extension - Hope it Helps, Good Luck DISCLAIMER - This communication is not trading or investment advice, recommendation or solicitation to buy, sell or hold any investment product is provided for informational, educational and research purposes only. All illustrations, forecasts or hypothetical data are for illustrative purposes only. The author or persons involved in the conception, production and distribution of this material cannot be held responsible for transactions or any financial loss or damages resulting directly or indirectly from the use or application of any concepts or information contained in or derived from this material. Past performance is not indicative of future results. Any person who chooses to use this information as a basis for their trading assumes all the liability and risk for themselves.
CBOT:ZW1!
by BahamasX
Swing trade about to happen on CZcoin BNBUSDTBNBUSDT is about to finish the 5th wave of a contracting ending diagonal. 12% drawdown can be expected as illustrated on this 1D chart. Price action on intraday below volume POC. According to my wave count, BNBUSDT is likely to be enter in a 5-wave swing-downward correction to made a lower low amid 160 USDT price @ least extending down 1.618 from the ABCD reciprocal harmonic pattern displayed. In a Wickoff method perspective, the price tends to enter in a SOW phase, breaking-down this triangle structure, but a rally of relief can be expected as a potential growth of BTCUSDT for the next month open. Oscillators: *Fisher Transform; *ESCGO_LZ (smoothed stochastic); *Chaikin Money Flow. This strategy was published for an educational study of the cycles of BNBUSDT market. You can see more of my progression on this short position by my previous posts.
Short
by firmestudio
ETH - UnTiL wHeRe tHe BuLL RaLLy WiLL gO ?Greetings traders! I am sharing to you today one of my COINBASE:ETHUSD Elliott Waves analysis. That one is bullish until the summer '23 Fibonacci Extention from the bottom of the orange W to the orange X in order to find the orange Y Fibonacci Retracement of the purple WXY, in order to know where the objectives converges to be more precise Fibonacci Extention of the blue (ABC) to find the blue (C) Fibonacci Extention to find the green extention 3 wave Fibonacci Retracement to find the green extention 4 wave Fibonacci Extention to find the green extention 5 wave * * BTW, I am selling a PDF , regrouping all the knowledge I have found on Elliott Waves, from the greatest analysts books, into a clear, simple and explicative way, Contact me in private if you are interested * * Don't hesitate to comment and check my other idea
COINBASE:ETHUSD
by ModTrades
2
$DNA Possible Accumulation. Fib levels very reactive.A pretty compelling argument for a classic Wyckoff Accumulation pattern. We know some people like Woods are investing heavily into this market, so it's not a long shot to assume there are others. Whether we see a spring or LPS our way up to SOS is TBD, we could shoot in either direction as it stands. PTs are at $7-$15 according to analysts. This seems to line up with extensions. OBV shows each consecutive low on the PA is higher on the OBV. This is a great indication of an increase of strong hands ownership. Overall, I think I am mostly bullish at the current level. Should we happen to dip lower for a spring, I will significantly add to my position.
NYSE:DNALong
by Tripcrypto1
1