Fibonacci Clusters Definition A Fibonacci cluster represents a convergence of Fibonacci retracements or extension levels, based on various price swings, around a specific price area. The underlying theory of a cluster is that if multiple Fibonacci levels are aligned near…
Trend-Based Fibonacci Extensions
Trend-Based Fibonacci Extensions Definition Trend-Based Fibonacci Extensions are a vital tool in the trader’s toolkit, used to determine profit targets or predict how far a price may travel after a pullback has concluded. These extensions, based on Fibonacci ratios, are…
Fibonacci Retracement Levels
Fibonacci Retracement Levels Definition Fibonacci retracement levels, rooted in the famous Fibonacci sequence, are a set of horizontal lines that signify potential support and resistance points in the trading world. These levels are widely used by traders to predict where…
Fibonacci Lines
What are Fibonacci Numbers and Lines? Fibonacci numbers are used to create technical indicators through a mathematical sequence developed by the Italian mathematician known as "Fibonacci" in the 13th century. The sequence begins with zero and one, and each subsequent…