Fibonacci Calculator

The Fibonacci Calculator will calculate retracements and extensions Fibonacci model based on two values (maximum and minimum). The retractions of Available Fibonacci include: 23.6%, 38.2%, 50%, 61.8%, 76.4%, 100%, 138.2%. And the following extensions are available: 261.8%, 200%, 161.8%, 138.2%, 100%, 61.8%.

How the Fibonacci Calculator Works

The Fibonacci Calculator is a useful tool for traders and technical analysts who wish to identify support and resistance levels on a price chart. It performs calculations for Fibonacci retracements and extensions based on two values: the maximum and minimum of a given time period.

• Step 1: Enter the maximum and minimum values of the prices you want to analyze. These values typically represent the highest and lowest points over a certain time period, such as a day, a week, or a month.
• Step 2: Determine whether the market trend is bullish or bearish. This is important for calculating Fibonacci retracements or extensions properly.
• Step 3: If the trend is bullish, you will be looking for Fibonacci retracements as possible support levels. If it's bearish, you'll be looking for Fibonacci extensions as potential resistance levels.
• Step 4: In the Fibonacci Calculator, various retracement and extension levels are available, such as 23.6%, 38.2%, 50%, 61.8%, 100%, 138.2%, among others. Select the levels you want to analyze based on your trading strategy and the asset's historical data.
• Step 5: After entering the maximum and minimum values, selecting the trend and desired Fibonacci levels, the calculator will provide the corresponding retracement or extension levels. These levels can be used to identify potential areas of trend reversal or continuation.

What is the Fibonacci Sequence?

The Fibonacci sequence is an infinite mathematical series in which each number is the sum of the two preceding ones, starting with 0 and 1. Formally, the sequence begins with 0, 1, and then the subsequent numbers are 1, 2, 3, 5, 8, 13, and so on.

How to Apply Fibonacci Retracement in an Uptrend?

By using the minimum value as the starting point and the maximum as the end point, the calculated retracements will function as support levels, while the extensions will act as resistance levels.

How to Apply Fibonacci Retracement in a Downtrend?

Reversing the approach, with the maximum as the starting point and the minimum as the end point, the calculated retracements will act as resistance levels, while the extensions will function as support levels.

Are Fibonacci Retracements Effective in Day Trading?

This tool can be applied in any trading period and style, whether in the short term (scalping) or long term (trend following). Its greatest relevance is observed in longer timeframes, such as 30 minutes or more, to minimize short-term market noise.

How to Use Fibonacci in Forex Trading?

Fibonacci levels in Forex trading, such as 23.6%, 38.2%, 61.8%, are essential for identifying support and resistance. These references, derived from the natural sequence, are crucial for traders in predicting price turning points. For example, a 23.6% retracement in EURUSD to 1.0084 can be strategically used as support for buying decisions, as well as for setting stop loss or take profit levels.