📐 Fibonacci — the golden levels from which whales buy 🐋
It's not magic. It's math. And very precise.
👉 These levels reveal to you where to buy the dip before the price increase starts!
Welcome to episode ten of:
"Understand Indicators Like a Pro" 🔍
And our topic today: Fibonacci Retracement — the hidden map of market retracements
🧠 What is Fibonacci Retracement?
A tool that identifies potential retracement areas based on strong price movement.
Based on Fibonacci ratios:
➡️ 23.6% – 38.2% – 50% – 61.8% – 78.6%
💡 The 61.8% ratio is called the golden ratio — and it's where smart money usually buys quietly.
🔍 How does it work?
Identify a strong bullish or bearish price movement
Draw Fibonacci levels from the lowest point to the highest point (or vice versa)
Monitor price interaction with key levels, especially 38.2%, 50%, and 61.8%
📌 How do you use it in trading?
✅ Use Fibonacci levels to identify entry areas during retracements
✅ Combine it with support/resistance or candlestick patterns or indicators like RSI
✅ Preferably use it in clear bullish or bearish markets
🚫 Do not use it in sideways or choppy markets — wait for a clear structure to build!
🚀 Professional trading strategy:
Wait for the breakout → then the retracement
Identify Fibonacci levels → and look for confluence with price structure
Enter near the 50%-61.8% area
Set the stop loss below 78.6%
Take profits at the previous high or upcoming resistance
📌 Next episode: Volume Profile Indicator — the tool that reveals where big money accumulates 📊🔥
Follow me now to discover how volume fingerprint reveals institutional activity!
