We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
Oil - US Crude
Mixed
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • #USD, $GBP, EUR & AUD Brace for Cross-Continental Political Peril ⬇️ https://www.dailyfx.com/forex/fundamental/article/special_report/2020/06/01/USD-GBP-EUR--AUD-Brace-for-Cross-Continental-Political-Peril.html
  • 🇰🇷 Exports YoY Actual: -23.7% Expected: -22.1% Previous: -25.1% https://www.dailyfx.com/economic-calendar#2020-06-01
  • 🇰🇷 Balance of Trade Actual: $0.44B Previous: $-1.4B https://www.dailyfx.com/economic-calendar#2020-06-01
  • 🇰🇷 Exports YoY Actual: -23.7% Expected: -22.1% Previous: -24.3% https://www.dailyfx.com/economic-calendar#2020-06-01
  • 🇰🇷 Balance of Trade Actual: $0.44B Previous: $-0.95B https://www.dailyfx.com/economic-calendar#2020-06-01
  • 🇯🇵 Capital Spending YoY Actual: 4.3% Previous: -3.5% https://www.dailyfx.com/economic-calendar#2020-05-31
  • G10 FX Snapshot: APAC trading open sees slight risk-off tilt. #AUD and #NZD lower alongside stock index futures, #JPY, #CHF and #EUR on the upswing. #USD is a mixed bag.
  • (Asia AM) The #DowJones, #SP500 and #NASDAQ Composite may climb after my Wall Street index avoided a downside breakout. Donald Trump’s news conference on China cooled escalation woes - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2020/05/31/Dow-Jones-SP-500-Nasdaq-Composite-Ready-for-More-Highs.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/KDrzpy6PFb
  • Preview of my piece previewing Europe/US ⬇️ https://t.co/hVYqYLVQaq
  • US-China tensions remain, #ECB stands ready to expand QE purchases, EU-UK trade talks in focus. Get your #equities market update from @JMcQueenFX here: https://t.co/hKLNJKqMoz https://t.co/h45Cngonhw
Fibonacci Usage

Fibonacci Usage

2010-08-26 18:46:00
Richard Krivo, Trading Instructor
Share:

Instructor’s Response:The purpose of the Fibonacci Retracement Tool is to be able to make a determination as to how far a currency pair is likely to retrace after a strong move in either direction. This is helpful since it will allow us to make an entry decision so we know when to enter (or re-enter) a trade when the overall trend once again comes into play.Take a look at the chart below…On this chart we see a long bullish trend running from the lower left to the upper right of the chart. We would draw the Fib line from the “Swing Low” (the lowest point of the move) to the “Swing High” (the highest point of the move). Our Fibonacci Tool then puts the Fib Levels on our chart. If we are using the Fib Tool in a downtrend, we would do the opposite of the above.As is noted on the chart, when the pair retraces, it will likely retrace to one of these three levels: 38.2%, 50.0% or 61.8%. We would put the tool to use in a trading scenario by waiting until price action trades to one of those levels and then shows a “bottoming” pattern…some long wicks or a Morning Star pattern would be a couple of examples.We could then take a long (buy) position back in the direction of the overall trend.

Fibonacci_Usage_body_57989d1275511751-post-day-chart-6-2-10.png, Fibonacci Usage

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.