Fibonacci Projections

Fibonacci Projection lines are channel lines formed using integers in the "infinite sequence," that is, the first two terms are added, and all subsequent terms are the sum of the preceding two terms, i.e., 1, 2, 3, 5, 8, 13...

Fibonacci Projections are price levels based on Fibonacci numbers.

Drawing Fibonacci Projections involves identifying a meaningful trend (up or down), and then identifying a significant recent price (if not the current price). The range that defines the trend governs the projection. The direction of the projection (up or down) is a function of the order in which you identify the trend. Identifying the trend low to high projects up, while identifying the trend high to low projects down.

To draw Fibonacci Projections, display the Fibonnaci Options dialog, select the Fibonacci Projections tab, and set the drawing options you prefer. Then, follow these steps:

To display Fibonacci Retracements, follow these steps:

Select a trend line.
Click , or choose Fibonacci from the Trend Line Functions menu.
Left Click on a significant price.

Trend lines are drawn between the selected trend line and the significant price.

Retracements are drawn according to the options checked in the Fibonnaci Options dialog.