What is the Fibonacci line (golden section)?
2023-06-21
Fibonacci lines, also known as the golden section, are a powerful analytical tool in the technical analysis of forex gold trading. In the trading market, most technical indicators have lagging, which makes it difficult for traders to grasp when using them. However, the Fibonacci retracement line has the precedence of the situation, which can well help traders to operate pending orders and layout in advance, which is its biggest feature and advantage, and it is also one of the main reasons for the favor of investors. The following will explain how to use the Fibonacci retracement line in three sections: concept introduction, basic usage and practical methods.
Fibonacci is an extremely old mathematical method that involves a strange set of numbers 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233... This sequence has magical properties: any number is made up of the sum of the first two numbers, and the ratio of the previous number to the next number tends to be a fixed constant of 0.618. Therefore, 61.8% has become the key Fibonacci ratio, also known as the "golden ratio".
In general, through the exploration of this series, two important sets of sequences can be deduced - 0.191, 0.382, 0.5, 0.618, 0.809; 1、1.382、1.5、1.618、2、2.382、2.618。 The most important of these two sets of numbers are 0.382, 0.5, 0.618, 1, 1.618, which are widely used in gold forex analysis and have excellent results.
Depending on how to use it, the golden section can be refined into five types of lines in gold forex - Fibonacci retracements, Fibonacci extensions, Fibonacci time intervals, Fibonacci fan lines and Fibonacci arcs. The most widely used of these five types of lines are the Fibonacci retracement and the Fibonacci extension line.
Fibonacci lines, also known as the golden section, are a powerful analytical tool in the technical analysis of forex gold trading.
Fibonacci lines, also known as the golden section, are a powerful analytical tool in the technical analysis of forex gold trading. In the trading market, most technical indicators have lagging, which makes it difficult for traders to grasp when using them. However, the Fibonacci retracement line has the precedence of the situation, which can well help traders to operate pending orders and layout in advance, which is its biggest feature and advantage, and it is also one of the main reasons for the favor of investors. The following will be based on the concept introduction, basic usage and practical methods of three sections to solve the Fibonacci line, also known as the golden section, is a powerful analytical tool in the technical analysis of foreign exchange gold trading. In the trading market, most technical indicators have lagging, which makes it difficult for traders to grasp when using them. However, the Fibonacci retracement line has the precedence of the situation, which can well help traders to operate pending orders and layout in advance, which is its biggest feature and advantage, and it is also one of the main reasons for the favor of investors. The following will explain how to use the Fibonacci retracement line in three sections: concept introduction, basic usage and practical methods.