Fibonacci Retracements are based on a trendline drawn between a significant trough and peak.
If the trend is rising, the retracement lines will descend from 100% to 0%
If the trendline is falling, the retracement lines will ascend from 0% to 100%
Horizontal lines are drawn at the common Fibonacci levels of 38%, 50%, & 62%
As the price retraces, support and resistance often occur at or near the Fibonacci Retracement levels.
http://www.chartfilter.com/reports/c14.htm
Friday, January 11, 2008
Fibonacci Retracement
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment