1/ Trading on Twitter FUD. A sure way to destroy your profits.
Use Fibonacci Retracement. Draw your own levels. Form your own opinion.
Get started with: the diagram below and this thread 👇
Use Fibonacci Retracement. Draw your own levels. Form your own opinion.
Get started with: the diagram below and this thread 👇
2/ Draw your base and top by identifying where a trend began and where it ended.
In the example, we’ve chosen our base to be at $6855.87 and our top to be at $8472.55
In the example, we’ve chosen our base to be at $6855.87 and our top to be at $8472.55
3/ Determine the strength of a trend:
The more the price retraces a move, the weaker the trend is.
The less the price retraces a move, the stronger that trend is.
The more the price retraces a move, the weaker the trend is.
The less the price retraces a move, the stronger that trend is.
4/ Adding some numbers:
Price retraces only to the 0.236 level ➡️ extreme strength.
Price retraces to the 0.786 level ➡️ weak strength.
Price retraces only to the 0.236 level ➡️ extreme strength.
Price retraces to the 0.786 level ➡️ weak strength.
5/ Find high probability areas for support and resistance:
For example, you might create a system in which you long the potential support of an extremely strong trend at the 0.236 level.
For example, you might create a system in which you long the potential support of an extremely strong trend at the 0.236 level.
6/ Responsible trading:
Just like any other indicator, they should be combined with proper risk management and trading psychology.
Used as confluence to take on high probability trades, not as signals to enter and exit a trade.
Just like any other indicator, they should be combined with proper risk management and trading psychology.
Used as confluence to take on high probability trades, not as signals to enter and exit a trade.
7/ Stop listening to anyone but your charts.
For more on mastering Fibonacci Retracement, read the full guide 👇
koroushak.substack.com
For more on mastering Fibonacci Retracement, read the full guide 👇
koroushak.substack.com
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