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Fibonnaci

MATH - This is how you REALLY use Elliott WaveThis is a great example of a beautiful setup and how to lay out a low risk, high reward trade, especially for those that are still learning and wondering how to apply Elliott Wave. Or maybe you are unfamiliar with Elliott Wave or someone who thinks it's nonsense. Well let me show you how I do it and hopefully help you learn the best technical strategy. These are the setups I salivate on. And I don't care if I lose 8 out of 10, because the 2 that hit will more than pay off the losers. Support box is clear. Below the September low and I'd be out as we'd be below the reliable 61.8% retracement. Breaking that fib retracement level means that it can do anything from bullish, to diagonal, to sideways, to bearish moves. And we don't want to waste our time with stocks that aren't trending. Nothing is reliable anymore - therefore, we don't want to trade it below that. Toss it away. Move on to the next one. For this play, you could accumulate shares under $2.25 which is the previous high. I have it labeled as a Wave (1) but it could easily just be an (A) wave. As a quick refresher, trending impulsive moves happen in 5-wave moves. Since we don't know for 100% certainty that this will become that, we have to prepare for the other likely scenarios. We are already protected from significant downside with our stop below the 61.8% retracement, so I just don't care what might happen in a bearish count. So for bullish, I want to accumulate under the last high and catch the breakout. Once broken out, minimum target is $4.25. That's the 100% extension of (1) from the bottom of (2), the first resistance. If this ends up being a 3-wave (A)(B)(C), it would top out there at the 100%, so we want to make sure we have all of our money back by then. A full bullish follow through could take it anywhere between $12 (161.8% fib) and $22.50 (200% fib, which is where a standard impulsive 5-wave rally is expected to end with no extensions). If you buy a stock like this with stop below the 61.8%, you can go net free (return of original equity) by selling however many shares are needed to get your original money back at the previous high around $2.25 which should reject at first try (as it is the most likely landing spot for Wave 1 inside of Wave (3). Once a higher low forms from there (Wave 2 of (3)) between $1.20 and $1.75, you could go in even harder, buying more shares, and moving your stop on all shares to that higher low, providing a very low risk scenario. By the time $4.25 is hit, you should be completely net free with plenty of shares left and maybe even take some good profits. Remember, this is an outline NOT A PREDICTION. That's why we have a stop, a plan, and multiple targets. As it plays out, we gain more clarity and update our outline. Probably even find a trend channel. This is Elliott Wave. This is Fibonacci Pinball (the creation of Avi Gilburt at elliottwavetrader,net). It's not telling you what's going to happen. It's telling you what could happen, laying out the most probable path, limiting your risk, and telling you when it might be wrong and how to pivot. And don't go thinking this will happen all at once. Keep good notes of your entry and all sales. This likely takes 1-3 years. Standard disclosures: 1. This is 100% my idea. It was not sourced from any other avenue. 2. I am not invested in this company, though I am likely buying shares soon. 3. I am not paid to post content nor do I receive any contributions of any kind. 4. While this is outlining a potential profitable setup, this article is not investment advice. You should do your own due diligence on any company you invest in and apply your own trading strategies. 5. I know nothing about the fundamentals of this company. I suggest doing your due diligence if fundamentals are important to you. 6. Readers should always remember that markets are their own creature made up of millions of individuals and institutions each following some combo of inherent bullishness, inherent bearishness, fundamentals, technicals, stupidity, and pure emotion. Elliott Wave, and specifically Fibonacci Pinball (developed by Avi Gilburt at elliottwavetrader.net and prominent Seeking Alpha author), merely provide a framework based on the observed price action to date. 7. I know that while my wave outline is based on years and years of data and application from not only me, but some of the best in the game, I also know that markets do not follow a set path and that sentiment can remain irrational far longer than I can remain rational. That is why you MUST consider the alternatives and manage risk appropriately. Know the pivot zones that could lead to the primary path failing. I warrant that the information created and published by me on TradingView is not prohibited, doesn't constitute investment advice, and isn't created solely for qualified investors. My analysis is not a recommendation for a specific trade. My analysis outlines a potential scenario and provides risk assessments for multiple alternate scenarios. My analysis is purely educational.
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NASDAQ:MATHEducation
by mazag08
1
Fibonacci Retracement ExplainedWhat Are Fibonacci Retracement Levels? In simple terms, Fibonacci Retracement Levels are horizontal lines on a chart that represent price levels. These price levels help identify where support or resistance may likely occur on a chart. Each retracement level corresponds to a specific percentage, indicating how much of a pullback has taken place from a previous high or low. These percentages are derived from the Fibonacci sequence and include 23.6%, 38.2%, 61.8%, and 78.6%. Although not an official Fibonacci ratio, the 50% level is also commonly used. This indicator is useful because it can be drawn between a high and a low price point, creating levels that indicate potential retracement areas between those two prices. The basic Fibonacci Retracement amongst many trading platforms would normally look like this: While this is okay, I would recommend changing the settings to my suggested format to improve clarity and comprehension. The revised version would look like this: To copy this, the revised Fibonacci Retracement Settings are bellow: By doing this, it shows you the “Golden Zone.” This spot is considered one of the most important areas because price often pulls back into this zone right before “extending” in a bullish pattern. >>>>>NERDY INFO AHEAD<<<<< Calculating Fibonacci Retracement Levels The origin of the Fibonacci numbers is fascinating. They are based on something called the Golden Ratio. This is a sequence of numbers starting with zero and one. Then, keep adding the prior two numbers to get the third number. This will eventually produce a number string looking like this: • 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377, 610, 987...with the string continuing indefinitely. Fibonacci retracement levels are derived from the Fibonacci number sequence. As the sequence progresses, dividing one number by the next number yields 0.618, or 61.8% (233 divided by 377 gives you 0.618037. Divide a number by the second number to its right; the result is 0.382 or 38.2% (233 divided by 610 gives you 0.381967. All these ratios, apart from 50% (which is not officially part of the Fibonacci sequence), are calculated based on relationships within this number sequence. The golden ratio can be found in various places in nature as well. This includes spiral patterns of seashells (like nautilus shells), the arrangement of leaves on a plant stem, the petals of certain flowers, and the structure of pinecones; it's also often observed in art and architecture, such as in the proportions of the Mona Lisa and the Parthenon, where artists intentionally incorporated it for aesthetic appeal. Now, as you can tell, the Fibonacci isn’t just some lines and numbers someone made up. It’s in everything you encounter. It’s on charts. It’s in nature. It’s in geometry. It’s even in HUMAN DNA. Fibonacci Retracements vs. Fibonacci Extensions Remember when I said, “price often pulls back into this zone right before extending in a bullish pattern.” ??? That’s because Fibonacci Retracement, sometimes confused with Fibonacci Extension, is the act of price level pulling back to the Golden Zone. The Fibonacci Extension is when price level continues to move in a bullish pattern after pulling back to the Golden Zone. For example, if a stock goes from $10 to $20, then back to $13. The move from $20 to $13 is the retracement. If the price starts rallying again and goes to $30, that is the extension. Limitations of Using Fibonacci Retracement Levels While the retracement levels suggest potential areas for support or resistance, there’s no guarantee that the price will reverse to these levels. This is why traders often look for additional confirmation signals such as price action and patterns. A double bottom in this Golden Zone coupled with an RSI divergence is a very good indication the price will move after entering the Golden Zone. !!!Fun Fact!!! Fibonacci retracement levels were named after Italian mathematician Leonardo Pisano Bigollo, famously known as Leonardo Fibonacci. However, Fibonacci did not create the Fibonacci sequence. Instead, Fibonacci introduced these numbers to western Europe after learning about them from Indian merchants. Some scholars suggest Fibonacci retracement levels were formulated in ancient India between 700 BCE and 100 AD, while others estimate between 480-410 BCE.2 Cheers everyone!!! Happy Trading 😊
Education
by TaylorDeMario
BTC Cup & Handle Potential Paths (1W)Forecasting some potential cup and handle formations for BTC using trend based fib extensions and trend based fib time. Assuming a .382 fib retracement, each handle assumes a local bottom at around a fib time line. Overheated oscillators provide some evidence that a short term pullback is in order before continuing BTC's bull run post-halving. If we get a retracement lower than .382, then there's a relative volume spike in the volume profile centered about the .5 fib line that could realistically act as support. Although my understanding is that cup and handles are more bullish when retracement handles are no deeper than ~1/3 down from recent swing high path. Looking way ahead if this plays out, i'd be looking for rsi to show negative divergence paired with BTC making macro higher highs as chances to take profit down the road, as is what happened last bull run.
COINBASE:BTCUSD
by rlando
Bitcoin Cycle Top ProjectionUsing Fib Time Zones combined with Fib Channels (both starting at the beginning of this range) I'm projecting Bitcoin's top to come March 2025 in the range of $132,000 - $144,000 . Personally, I believe this may be THE top. Time will tell, but with the advancement of AI, the Bitcoin ETF's gaining control of a considerable amount of the BTC supply and the digital dollar vs. BRICS I see a whole change in the way we exchange value between one another. There was A LOT of math within this, but all the time zones and each cycle's channel fall on actual fib levels. Yes, this is much earlier than all previous cycles - which leads me to my next point... This cycle IS different. Do you really believe now that the institutions are invested they'll give any retail investor/historic BTC trader a "good" entry? Bitcoin's on it's run, and if you're waiting for a dip you may miss this rally...
INDEX:BTCUSDLong
by brettjessen
AUDJPY Bearish Bat Pattern In the creation of this post. Using previous support and resistances from the burgundy colored rectangles. you can see because of the Fibonacci retracements reached specific zones explained what to look for. Coming off a Bearish Gartley Pattern right into a Bearish Bat Pattern is just too funny. Using support and resistance including watching the market move in the waves it does. This Prediction might get moderated because I can't follow house rules and I'm trying and new to posting. 0.50 222 I am publishing this upcoming trade for the future. Hopefully this is a trade a lot of people make money with. Good luck. see you in the future It is not recommended i guess. " please mods lol
Short
by Fxinflation
1
Introducing the Dual Dynamic Fibonacci Retracement IndicatorHey there, Stock Justice here. Today, I walked you through using the Dual Dynamic Fibonacci Retracement Levels Indicator on TradingView. This powerful tool calculates pivot points and determines Fibonacci retracement levels based on your position in the market. I explored every input, from lookback periods to toggling extra levels, to shifting and extending lines. We also delved into the use of two sets of Fibonacci levels to identify areas of confluence for more robust trading decisions. With vivid colors marking each retracement level and the flexibility to modify the lookback period, this indicator is a game-changer for pinpointing support, resistance, potential reversals, and continuations. Remember, the magic is in the details. Happy trading!
NASDAQ:QQQEducation
by StockJustice
1
EURJPY LONG IDEAHello Dear Traders My point of view regarding the EJ for the short term. Cautiously and always with R:R management. Note: The price is approaching a strong supply level but it can give the result. From the purple supply zone we will se how it responds. We will then react accordingly for sell in case of some candlestick pattern, weak bullish Price action etc. or we may enter long if the market is going to give us a strong impulse to the upside with a PA retest of the zone in conjuction with 0.382 - 0.5 - 0.618 Fib. Retracement Level. Good Luck and waiting for your comments!
Long
by The_Forex_Path
Bullish Engulfing Candle at the 300WMA or another Bear Pennant? Price held with a small but steady bounce right at the 300W MA---a support many Market Markers have been eyeing since the 200W MA was broken in BTCUSD. ETH showed an even stronger interaction with the 300W MA support. As well, we see a Bullish Engulfing Candle at the bounce, which has also appeared in BTCUSD, signalling a reversal. This is a promising signal for Bulls, however, will the volume hold up? We already see volume declining, indicating this may be a false signal printed by the daily candles. We can see a possible continuation of the Bear Pennant playing out between the 0.765 and 0.618 Fibonacci Bollinger Bands. The strongest fib levels tend to be 0.618, 0.5, and 0.382. With the 0.618 becoming resistance (previously playing support (follow the green arrows on chart)), and above that the 0.5 band (which played resistance in the previous pennant (follow the yellow arrows on chart)), as well as the 50 Day MA (which has played resistance too (follow the yellow line on chart)), we’ll need significant volume to confirm a reversal. Bear pennants indicate price will continue in trend, so when price breaks above the upper trend line of the pennant/flag formation this typically signals a break in the pattern. A trader may place a stop order at a price in the break-out zone, however, I warn against being caught out in a head fake here for the three reasons mentioned above: 1. Low Volume does not signal a proper reversal at the break, 2. Price is currently trading between the 0.764 and 0.618 levels, with 0.618 being a common level for price to interact with, 3. The 50D MA has rejected the price twice, and trend lines are typically checked at least three times before diminishing their influence. We don’t know if the 50D MA just happens to coincide with the previous two price rejections, but its correlation should not be considered lightly coming into its third check, especially if volume doesn’t peak around that time. IN SUMMARY: I would not advise trying to catch a break above the pennant as you might be caught out by a head fake. The 300W MA did not show a confident rejection, which stands to reason it will be tested again.
COINBASE:ETHUSD
by MiserableToppings
4
BTC key area for big short 40.3k fib levels and previous demand Multiple Fibonacci retracements pulled with confluence on the .786 and 0.618 .66 where previous heavy demand was before big move down also low volume node and .382 lining up with eachother Going to be looking for a short at 39k / 40k area let me know what you think, I will market buy when we see the reaction, if retest and rejected then short, if we break through and backtest as support I will long. will post targets later on fib extensions.
BYBIT:BTCUSD.P
by moneyflow369
1
SPY possible bounce to the 38.2% fib before the last wave downIf SPY starts to get a bounce on the daily, then it could see resistance near the 428 area at the 38.2% retrace of the last leg down. Price is getting somewhat extended from the 21ema, and am expecting a correction in time or price in the near term... I see this current Elliott Wave scenario as possibly being in the C wave down of a correction that started after the 01/04/22 highs. C waves must have a 5 wave structure. Once a bounce starts, it could be the 4th wave, and 4th waves typically retrace the 3rd wave by about 38.2% (most common). I will be watching for possible short entries in the 428 area, with fib and elliott wave targets from 406.75 down to 393.38.
AMEX:SPYShort
by FourC