FIBONACCI PART II
USE:
● Practical use: Traders use Fibonacci retracements to identify potential entry points in the direction of the main trend after a correction. For example, in a bullish trend, if the price retraces to the 38.2% or 50% Fibonacci level and shows reversal signals (such as candlestick patterns), it could be an opportunity to buy.
● Fibonacci Extensions
■ What are they? Unlike retracements, extensions are used to project future price targets or resistance/support levels beyond the initial movement.
