Fibonacci Forex Trading

[convictPKlol]

this shit is scandelous. I suggest you find your own method of trading. I method is price action and it works 90% of the time, and it doesnt need any shitty signals.

[leveragefx]

@convictPKlol Your comments are pure nonsense. Fibonacci levels are used by the majority of professional traders. Don't believe me then if visiting NY or Chicago stop into a trading firm and talk to the traders. Secondly Fibonacci levels are a bit of an art and we teach them DAILY in our Forex classes. There are times we buy the 38% retracement, most of the time wait for 50% and sometimes the 62%. We also use OTHER TOOLS like our currency meter to measure momentum, NEVER buy super weak ones

[r29]

Does this only work for forex?

[leveragefx]

@r29 Fibonacci levels work on every market I've traded. I started out 11 years ago only trading stocks then started trading S&P futures and for last 6 years focused mostly on Forex. The bigger the market the more Fibonacci levels work. I doubt they'd work on penny stocks for example as amateur traders don't understand how to use Fibs. We also mostly focus on FIBONACCI CONFLUENCE areas which is a much more advanced use of Fibs that we teach in our class. Signup for 3 months FREE at our site.

[hellahotdude]

analyzing the comments below show: 50% of the people make money doing this and 50% of the people lose money.

[leveragefx]

@hellahotdude Most new traders have NO CLUE HOW LITTLE THEY KNOW. Fibonacci is maybe 10-15% of our trading system. We use them in CONJUNCTION with other support resistance areas, how many waves the market has moved and MOST IMPORTANTLY our statistical momentum tools. If EUR/USD has pulled back to its 50% fibonacci level and has -80 weakness its too weak to buy, we'd pass on that one or wait to see if it stalls there and then buy or buy the 62% Fib. We also wait for pattern signals first as well

[chanceryford]

Thanks for the examples. Hope to hear some new ideas from you. Thanks!

[tromboista]

Are there any videos done as it happens? I´ve tried this and many things go wrong. It doesn go as smooth.

1. The retracement happens but it doesn´t resume the trend. After 2 candles it goes the opposite direction once more. Panic.

2. At the retracement, it doesn´t stop at the 50 or 60%. It just keeps toward 100%

2. When it comes back down then at 38% turns around and heads north.after you enter your trade.

3. Only 2 candles form and turns around once more

Very frustrating

[leveragefx]

@tromboista Most professional traders have multiple monitors. I use 4, one 30 inch and 3 24 inch dells. It's impossible to record all my screens in video and it would be too big to stream. I do fib levels EACH NIGHT, takes me 30 minutes and the levels I manually calculate show up on all our traders charts each day. Come to our class for 3 months free and YOU CALCULATE the percentages that they work. Make your own opinions of Fibs once educated and you SEE.

[tromboista]

So can somebody explain why a lot of times you have the formation and your place the trade but the fibo does not work and it just keeps going. Is ther a way to identify when this is not going to work?

[leveragefx]

@tromboista NOTHING works 100% of the time. New traders seem to always be focused more on winning percentages than EXPECTANCY which deals more with the win vs loss ratios. That's the #1 secret to trading. You can be 35-40% winning but if you have a lot of break even trades, small 6-10 pip losses and have wins from 20-50 pips you'll be doing well. Plus most traders don't have any good statistical measure of how strong or weak a currency is. We don't buy if currency is extremely weak, ever.

[leveragefx]

@tromboista NOTHING works 100% of the time or even some days 70% of the time. NOTHING. So with that out of the way yes you will have losses using Fibonacci and every other trading tool or system out there. They key is small losses and holding trending winning trades for as many pips as you can or scaling out as it goes your way. We also use statistical momentum tools we developed to take SOME FIB trades while avoiding others. I'll give you 3 months of training free at our site to learn.

[tromboista]

What´s your position when the trend doesn´t stop at 50 or 61% and pulls back, but it keeps going to the 100%. 2. How to know if it´s going to retrace or keep going?

[shahanaskadoor]

I was looking for such a video, really helpful

[convictPKlol]

Ive been reading about being a day trader for a few months now and ive gotta say its looking like my dream job.. everything is just so interesting and im doing my utter best to try and take everything in, and thank you so much for the video :)

but I would like to know, what platform do you use for forex trading? or what program do you suggest i use? :)

[freeSCALPINGindicato]

I am trading Fibonacci over 2 years already, this is brilliant method - much better than any other system...

[2theothers2]

Has anyone noticed that the Fibonacci Ratio 1.618, is the Divine Number?

[JonnyMuzz]

Nice video.

[tzDub92]

when u look at how amazing life is and and take into account all the strange unexplained creation phenomenons like Fibonacci sequence or the golden ration, its hard to say theres no such thing as intelligent design.

[FXTimes]

Thanks for the examples. Also looking for fibonacci in time relations.

-Fan Yang CMT

[FreeFOREXautoBOT]

I was using Fibonacci System on the last tradig day and i liked it very much, so i advise everyone to try.

[makofski]

I can find you hundreds of moves when trend doesn't retrace at 61,8 but breaks it like deep-fried pastry ribbons. Even on your video 00:46 - why didnt you draw fibo from previous swing down ? because it didnt retrace at 61,8 ? come on , so tenuous "guide"

[leveragefx]

@makofski The #1 Secret to trading any market is small losses and bigger wins. NO TOOL works 100% of the time and only idiots think there are tools out there that do. This video is on Fibonacci but does not have the tools we use that show REAL TIME momentum. If the market retraces 50% but does so with low momentum then the odds of the Fib holding and causing a reversal are much higher. When momentum is high price blows right past them. Fibs are not even in our top 6 tools!

[tromboista]

@makofski right! you enter a trade at 60% and the thing just keeps going to 100% and there goes your plans for dinner with that hot babe.

[FreeFOREXautoROBOTT]

nice vid, but i prefer EA..

[leveragefx]

@FreeFOREXautoROBOTT EAs don't work. I speak to over 100 traders a month and not one has ever told me they've made money from an EA. In creating an automated system its easy to make it profitable using PAST DATA but in the future when markets change as they always do then those systems usually lose a fortune. We teach discretionary trading instead using our statistically based momentum tools. If a market is up 4 days+ for example we look for counter trend trades.

[omnipotent14]

Great Video!!! I have started trading and will use the information that I got from this video

[jenningsbg]

90 - some % of all FXC deals end badly for traders .... thnk thing through :) Fibs will not win you money by it self ! Just a reminder, if u will!

[leveragefx]

@jenningsbg I agree and never claim otherwise. It's a small piece of how we trade and I personally use them more for their profit target ability and to spot likely counter trend trades when markets are up/down statistically too far and they reach the fib targets with LOW momentum or slowing momentum. Fibs are no more than 5 to 8% of our systems, come to our classes, watch our free videos and watch our daily forex blog to see how we use fibs. When used correctly they are very useful.

[freeSCALPINGindicato]

How about FIBO and Scalping?

[leveragefx]

@freeSCALPINGindicato Fibs and especially Fibonacci profit targets are very useful for scalping as they make good areas to use to estimate risk vs reward ratios. NEVER take trades with less than a 1.5x bigger potential profit than what you risk.  If likely target is 10 pips and you are risking 10+ pips don't take trade. Only draw fibs on 25-35+ pip moves, under this they are completely WORTHLESS. The bigger the swing the higher % of the time they work and often to within 2-3 pips.

[MCG0KU]

nice video!thanks...

[aqeel3344]

beside looking for a 30-50 pips move what else do we look for before we start to draw fib line? how can we add MVA to the ecuation ?

thanks

[leveragefx]

@aqeel3344 We look at many things and Fibs are maybe 5-10% of our system. First look at the daily, weekly and monthly statistical trends and we focus on weekly trend and if up we buy pullbacks and if down we sell rallys. We not only use Fib support/resistance but other common ones like previous days/weeks/months highs and lows, weekly and monthly pivot points and a few others. Mostly though we use real time statistical momentum and buy strongest ones and sell weakest. Watch our classes.

[bostrader]

Very good! But the Fibonacci retracement can't be the only one instrument for a trader! If you use it only you'll lose your whole money! It's 100%!

[leveragefx]

@bostrader If you look on our site and in youtube we have up almost 100 videos. This is just ONE small component of the way we trade and teach and we never ever claimed otherwise.

[andyforex]

A very Interesting video

[Freddorick]

Whats the reason for Fibos working on 30+ Pips and not on 20?

[leveragefx]

@Freddorick Nothing other than trading for 11 years and seeing the BIGGER the pip move the more likely the 50% fib (my favorite) is likely to act as support/resistance on the pullback. I also use the Fib profit targets MORE than the Fibs themselves and on most small moves the fib targets do NOT work whatsoever. But if you see a 30-50 pip move then when price hits the 1.382 and 1.618 Fibonacci profit target it usually stalls and often reverses.

[TheZApprentice]

I haven't had much luck using fib analysis. Trying to pick tops and bottoms is hard and unreliable, imo. But good luck to those of you who get good at it.

[leveragefx]

@TheZApprentice Fibs are NEVER used BY THEMSELVES. We have statistical trend tools which compare each currency to all other major currencies. Thus if you get a move back to the fibonacci retracement levels or fib targets AND our statistical trend momentum shows is not too strong (under 20 on our FX Trend Intensity tool) then it has a higher odds of stalling and usually reversing at these levels. If momentum is STRONG then we simply AVOID the trade as we feel its far higher risk.

[forexstea]

Helpful Video.Easy to understand and very clear.

[forexstea]

Great video.i find it very interesting and useful especially for the beginner using forex trading system.

[leveragefx]

LeverageFX now offers AUTOMATIC Fibonacci Levels on your charts. We manually pick the swing highs and lows on multiple swings and time frames and all you need to do is add our Trading Zones script to your charts to see them.

They make excellent targets, entry points and counter trend areas.

[rizalsp1]

I also use this analysis and this analysis is very helpful.

[robertplant634]

Is it better to use a one minute chart or a five minute chart? I seem to get conflicting signals depending on which one I use. I've had some success with the one minute chart using fibonacci, but I've had instances where it looked like a short on the one minute chart and a long on the five minute chart.

[leveragefx]

The time frame of the chart is irrelevant. What is important is the number of pips in the swing you are drawing fibs on. For USD pairs use 30+ pip swings and for more volatile pairs like GBP/JPY use 40+ pip swings.

If your 1 min chart is so ZOOMED in you may be drawing fibs on 15 to 20 pip swings and this is causing them to fail for you. Also context is key and I mainly use Fibs for their intraday extensions and also longer term fibs (weekly+ moves)

[ILuvTrading]

Great vid on the Fibs. I just directed one of my clients to this video as well.

[rhalfarisy]

I always use fibonacci to identify the trend... and for that, I know when to enter the market either exit points. I love this video... fibonacci made FOREX easy!

[HOW2GetFREEforexROBO]

How does this system work on intraday?

[leveragefx]

Fibonacci Levels work on all time frames but only on swings of 25+ pips. We use Fibonacci levels to time entries but mostly as high probability exits. Our Total Strength currency meter shows us the strongest currencies to buy and weakest to sell and we use these Fib targets to know most likely MAXIMUM profit. I'd say 70-80% of the time price doesn't move past the 1.618 Fib Target level.

Many of our traders also use Fibonacci Clusters in conjunction with other support/resistance levels.

[leveragefx]

In my opinion from my trading Fibonacci retracements and especially targets work better on bigger swings. I won't even draw Fibs on moves of under 30 pips for intraday trading. If you see a swing of 50 to 75+ pips the Fib targets in my opinion are great places to take trend exits and look for counter trend trades. Also CONTEXT is key and I use our weekly and monthly statistical trend levels to decide whether to enter at the 38%, 50% or 62% retracement. See our free classes for full details.

[leveragefx]

@HOW2GetFREEforexROBO We trade only intraday but Fibonacci areas work on all time frames. I spend 30-45 minutes per day analyzing the 12 main pairs I trade on multiple time frames and I put these longer term fibonacci levels on our charts available free to all of our traders. Would I waste 12 hours+ a month doing this for my own trading and trading of our thousands of users if I felt they didn't work?

[leveragefx]

Keep in mind this is ONE part of our overall strategy and is NOT even in my favorite Top 5 tools! Mainly we use our Total Strength currency comparison tool and simply look for buys in the strongest currencies and sells in the weakest. Come to our 2 weeks free forex classes to learn this far easier and much more profitable system!

[AleksM1991]

@leveragefx Hello. If this system is so successful why do you teach it and not make a living off the profits from trading?

[leveragefx]

@AleksM1991 This is only a tiny piece of our software and how we trade and teach. I do trade and we have a live room. Come to our classes and ask other traders in there how my real time calls work out. I created this software for my own trading and have traded for over 11 years now. Having a business selling the software I use doesn't hurt my trading, only helps it as I don't NEED to trade, don't need money and thus can be more patient waiting for optimal trades.

[ExactTrading]

How do you take profits when price does not reach the extension targets ? Thx

[leveragefx]

We have many other tools we use which show us the currencies STATISTICAL strength/weakness and that tells us the odds of it hitting the profit targets. We also always trail a stop to get us out with smaller profits when targets aren't hit. You can also draw trendlines under the lows of the up bar. There are 3 other exit methods we use, feel free to come to our 2 weeks of free classes and learn them. Impossible to fully explain here without you seeing our charts.

[luckyload3r]

you ever use fibonacci clusters? much better

[leveragefx]

Absolutely. We teach in our classes clusters of Support/Resistance including Fib clusters you're referring to ( Fib Retracements and Targets) + Previous Days/Weeks/Months highs & lows, & Weekly / Monthly Pivots. A cluster for those who don't know is when MULTIPLE areas of support/resistance are within a tight 10 to 30 pip area or zone. Markets typically reverse at these.

In fact we do this multi time frame analysis each day for all of our mentor students and the ZONES show up on the charts.

[cherylish1]

impressive....I want to learn more. This is a great video- well done easy to understand & you keep it simple- thank you!!

[JudiBeaver]

Your video is really informative and your explanation of  Fibonaccis is excellent.

[yusofhardy]

How do you differentiate between retracement and reversal?

[leveragefx]

That's easy. We use our trend identification tools FX Multimap which shows statistical strength/weakness and also FX Power Index which shows % of currencies that support buying/selling.

IF on the pullback to the fib level there is not much weakness on these tools and the previous move up had HUGE strength then we look at the 38 to 50% fib level to buy and the EXACT entry is when trendline over the highs gets broken! Reverse for shorts. Call us and I'll give you a week of our classes free.

[masmir016]

Great , very clear and simple explaination

on Fibonacci Retreacements, easy to understand

[sbusz]

nice tutorial. liked how you kept it simple so even a noob like me can understand

[smklakken]

Excellent explanation of Fibonacci

[CurrencyCafe]

I run a hedge fund and Fibonacci trading is the backbone of my trading. This is an excellent video.

[leveragefx]

@CurrencyCafe I know many large traders and over 80% of them use Fibonacci levels and profit targets. Nothing works 100% of the time and without other tools they may not even work 50% of the time however when they work there are often big moves off of them and that's the real key behind winning traders success, they hold winners and have much bigger winning trades then the tiny losses they have. You don't even need to be right 40% of the time if you have 2.5X bigger wins than losses.

[wwwForexsigcom]

The Fibonacci strategy can be very profitable if you know how to correctly implement it.

[leveragefx]

Our TopGun Software NOW HAS AUTOMATIC Fibonacci thanks to our new Visual Basic Programming language and one of our happy customers Reza who spent hundreds of hours programming AUTO Fibs! Thanks Reza, now ANYBODY can properly use Fibonacci

[midwesttransplant]

With have competing Fib patterns (for ex. one that forms over a couple of days vs. one that forms over a couple hours), how do you know which to trade. I was just stopped out on a trade from a strong short term down trend on a bounce to the 61.8 level (I shorted) but realized that the low was actually the 50% retracement on a big 2 day move and the market kept moving up.

Is that the kind of thing that you think accounts for many busted Fib trades(or news of course).

Thanks!

Thanks

[leveragefx]

Yes, this is exactly what we teach our traders. There are indeed Fib patterns off of different time frame trends and when they line up they are called FIB CLUSTERS. Buying Fib cluster support or selling Fib cluster resistance are some of the highest probability trades.

We also teach which Fib level to buy/sell based on our FX Multimap trend strength and where the currency is on longer term charts.

Our new FX Power Index trend tool also improves accuracy.

[flipearl13]

amazing video! the key to fibonacci trading is identifying which highs and lows to trace. watched this video over and over for a week and i've been making an average of 30pts each time i get in. try using the macd together with this and you may see a signal for a great retracement.

[StrikeData]

Great video! simple and easy even for a newbie like me to understand. Excellent work!

[takadapapa]

great video. Thank you.

5 stars!

[forexbrotherhood2008]

hello thanks nice info

[forextrainer]

very nice video

[supermalv85]

it's a pretty solid explanation. But I was wondering why you didn't mention anything about the time frame. The lower low and higher high looks heaps different from one time frame chart to the other. So which one is specifically there to use? : d

[leveragefx]

Time frames to use Fibonacci are irrelevent in my opinion. A swing as defined as a movement up or down can be seen on 1 min chart, 5 min, 60 min, etc. What you should do in using Fibonacci is make SURE that the swing is at least 20 to 30 pips. Fibs don't work well at all on tiny 10-15 pip moves. And on more volatile currencies such as GBP/JPY use 30-40 pip swings MINIMUM. Again the swing is the swing so timeframe of chart isn't relevent for day trading. For swing trades use 60, 240 or daily.

[gehil]

Thank you man!! is a great video

[CristianTari]

Hi , thanks for the video, I would like to know which is the profit target when we buy or sell at 1.618% level? Thanks

[leveragefx]

The 1.618 is a Fibonacci profit target to exit your trend trades at and consider counter trend IF there are other factors such as other support/resistance there and how far overextended the trend is. In doing a counter trend trade at that level I typically will look for at LEASE a 38% Fibonacci pullback to look to exit at. That should be an area to LOOK for an exit. The actual exit is often a much bigger profit than this as you need to use trailing stops.

[warlowl]

Good explanation!

[forextracer]

these forex trading software is making it easier to make money..definately worth a try if you want to start trading.

good video!

[ForexTE]

Nice video. Your software works with MetaTrader4, correct?

[leveragefx]

Our software works with eSignal data and we're adding another data feed soon. Our traders mostly DO use Meta Trader to enter their orders. It's been a long time since I've posted to You Tube and our techniques have improved dramatically.

For instance, we now have a way to scan to see which currencies to buy and which to sell. Our FX Multimap trend allows you to sort and watch the STRONGEST trending and auto link them to charts even.

[Mekkmester2]

What kind of broker I need?

[leveragefx]

We work with FXDD, FXCM, and FX Solutions. We are adding another data feed that costs less than eSignal and thus we will be adding MANY other brokers in the future. We give our software FREE to those who trade with us through our brokers. We also have a 24 hour FREE chat room for all of our traders. We trade as a team!

[josepar2]

Very good explanation! thank you!

[OptimusKeitzi]

Hehe.. for every trading method there is a chart situation which will fit and is excellent in being an example. In this case fibonacci retracement. Have seen a lot which were perfectly matching for RSI, CCI and so on. The question is which will really work in the future and not in the past. but 60 to 75 is a realistic statement and everboy needs to find out what he should use. So well explained athough!! Thx and Greetz from Germany.

[leveragefx]

This is a TRUE comment! Any BS indicator out there has times where it works. Even a broken clock is right twice a day! I bet though if you ask any profitable trader if they believe in Fibonacci retracements and especially Fibonacci profit targets they will say they do and almost all will USE it. The hard part about Fibonacci levels is WHICH to use? We draw trendlines over/under the counter trend swing to know EACTLY WHEN to get in and thus fewer and smaller losses and higher win %

[tromboista]

Except, that there´s no way to know when is not going to go to the first percentage level. It might start working as in the example above and get to 23% not 50% and then turn around. Now you have problems

[leveragefx]

You are EXACTLY correct. We use a technique called the Trend Capture Lines for entry. On trades that never break this level we don't enter and thus NO LOSS. In some instances our entries are 3 to 5 pips worse than the Fib levels but most of the trades work and we avoid a ton of losing trades. It also lets us get into some shallow 38% fib pullbacks and not worry about waiting for the 50 or 62%!

We teach this in our class. Email us or call and we'll give you a free week and explain this.

[007cbrad]

LOL!!! your the only guy that seems to know what your talking about.... i enjoy trading the EUR/USD and GBP/USD....45 pips isnt enough for me.... wink wink ;D

[haikaldmax]

yeah 1 of the best vid..hmmm i just wish i have the fibonacci profit target in my chart..so now i'll have to use the old fashion way..the calculator uhuhu..thx for posting..

[FOREXautoPILOT]

thanks for the info, its helpful

[ixjhagux1]

Wow great info!

Thanks for posting this.

[velious2121]

How do you find the profit targets if the software doesnt do it for you?

[leveragefx]

You click on the Fib drawing tool or Ctrl F and then left click on bottom of swing and drag to high of swing and the Fib targets are drawn. For forex we then use our FX Multimap trend strength to tell us if the previous high will stall the market as it returns up OR if super strong its likely to breakout and go higher.

Contact miked at leveragefx dot com to get access to a FREE week of our classes!

[cjp1002000]

What time frame do you work in?

[leveragefx]

Most of our group use a 50 tick chart. We also look at multiple time frame trends and primarily trade with the trend until it moves statistically too much (we have a stat tool that tells you this) and then look for divergence in our trend tool for counter trend trades. I only posted a 5 min chart for this video example because so many people use it.

[MYNEWMOKE]

this is one of the best explanations of how to use the fibs... this video has opened up my eyes trememdously... thanks for sharing your knowledege.

[forexnewshub]

good video, if trading would be that easy tho :)

[Ranmaaaaaa]

Thanks for information.

[isaakkkkk]

Thnaks for the video man, helped me a lot!!!

I just wanted to ask if i might:

when trading fibonacci counter trend, what is the profit target area?

thnaks!

[MYNEWMOKE]

excellent explanation my friend. 911 turbo here i come.

[giorgio67z]

ottimo video

[forexwealth]

Very Nice!!:)

[connahsquay]

simple, yet concise explanation about Fibo

[dreamcinderalla]

Nice explanation. I give you 5 star. Upload more on Moving averages too. Thanks

[juseroe]

Great Video

[hott85]

thanks this explains the fibs really well

[lemmymorton]

reminds me of the darren aronofsky movie "pi". is this for real?

[GdbuB]

Thank's for the video! more please..

[johnsmith326]

This is the best fibonacci 'free' video I've ever seen. I went to your site and love all the free videos you have there, much bigger and higher quality than your you tube ones.

[chukka87]

thank you for sharing, i use fibonacci a lot and it is very accurate!

[mariel123456]

very very good thank you . can you do the same with pivot points tks

[jimprice09]

nice i want more

[francispoc]

Great free training . Simple and intelligent approach to trading the 4X. 5 STAR

[chief92801]

VIDEO IS EXCELLENT I GIVE IT A 5 STAR

[gxxr1130]

This is as close to free money as you will ever get.

[giorgio67z]

grande fibonacci