Sunday, 6 September 2015

Knowing Fibonacci

Dear Diary trading, My last post tells about insert fibonacci, now I want to write about knowing fibonacci.

Fibonacci is good to know how long candlestick will be moves.

It have percentage range, there are:

100%, 61.8%, 50.0%, 38.2%, 23.6%, and 0%.

Those percentage could be act as support or resistance line.

There's a psychological zone in fibonacci, for details check this picture


knowing fibonacci












 
From that picture I draw 2 zone. The zone 1
is between percentage range 0 to 23.6%. Then the zone 2 is between 61.8 to 100%. Those 2 zone have a unique movements. Usually candlestick will confuse (sideways trend) which it will bounce down if it touch 23.6 then bounch up when touch 0 fibonacci or bounce up when touch 61.8 then bounch down when touch / near 100% in fibonacci. That's the easy way for me to knowing fibonacci.


See you next post.

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