FIBONACCI RETRACEMENT LEVELS ABOVE 100

It is difficult to discuss forex trading without mentioning the usage of the Fibonacci tool, which is critical to a successful trading career, especially when combined with other trading techniques like as trend lines, support and resistance, consolidations, and more.

Having stated that, the focus of this discussion will be on Fibonacci retracement levels above 100 and how they might be used to trade the forex market. Let’s get started!

TREND BASED FIB EXTENSION

Trend based Fib extension is basically the use of the Fibonacci tool to locate possible profit targets, these profit target zones can also be called reversal zones.

Note that trend based Fib extension can only be achieved only when a dominant market trend has been established.

In other words, to apply a trend based Fib extension, you must first identify an existing dominant trend, on the retracement, you draw your Fibonacci for example on an uptrend, you draw from the top to the bottom to locate your profit target zone.

You can read more on how to use Fibonacci extension.

FIBONACCI RETRACEMENT LEVELS ABOVE 100

Fibonacci retracement levels above 100 on an uptrend show the levels 38.2, 50, and 61.8. Which are retracement zones while Fibonacci retracement levels above 100 on a downtrend shows the level 127.2, 141.4, and 161.8 which are reversal zones.

See the two images below:

Fibonacci retracement levels above 100
Fibonacci retracement Levels downtrend above 100

FIB EXTENSION LEVELS 127

Professional and experienced traders pay attention to three important Fibonacci extension levels: 127.2, 141.4, and 161.8. That being said, the fib extension level 127.2 is the first profit target level that prices reach in a trending market.

This 127.2 fib extension level is also known as a reversal level. It is the point at which traders consider exiting their positions.

You can read up to know more about Fibonacci extension levels.

FIBONACCI EXTENSION LEVELS CALCULATOR

The Fibonacci extension level calculator is a specialized tool that allows a trader to calculate the Fibonacci levels for any financial security based on a high and low price.

You can use this tool to calculate your Fib extension levels and retracement as well.

FIBONACCI RETRACEMENT AND EXTENSION LEVELS

Fibonacci retracement and extension levels

The Fibonacci tool works best when combined with resistance and support levels or swing lows and highs. Let’s first define Fibonacci extension and retracement to set the stage for our discussion of Fibonacci retracement and extension levels.

While Fibonacci retracement levels reveal how far a retracement may go, Fibonacci extensions predict where the market will move after one.

In other words, Fibonacci extensions measure the impulse waves in the direction of the trend, but Fibonacci retracements measure the pullbacks inside a trend.

In a Fibonacci tool, there are numerous retracement and extension levels; however, traders choose to focus on particular levels since they are significant in the forex market and cause the market to respond when the market price reaches them.

The three important extension levels are 127.2, 141.4, and 161.8, while the three important Fibonacci retracement levels are 38.2, 50, and 61.8.

Professionals in the forex market look forward to the levels mentioned above the most; therefore you should do the same.

To know more about Fibonacci read up on How to draw Fibonacci correctly.

FIBONACCI EXTENSION LEVELS MT4

Fibonacci extension Levels MT4

Fibonacci extension levels mt4 are profit target levels in a trending market; these levels are useful in currencies, stocks, synthetic trading, and other financial instruments.

There are many Fibonacci extension levels, but as a trader, I have seen that some levels appear to react more than others. These extension levels are 127.2, 141.4, and 161.8.

These extension levels are also called reversal zone as the market gets to experience a change in the dominant trend and a market consolidation or sideways trend.

Read more on Fibonacci extension levels mt4.

HOW TO USE FIBONACCI EXTENSION

Learning when to exit a market after entering on a trending market is a hurdle that the majority of forex traders encounter.

This is crucial since leaving the market too soon or too late may prevent you from making the most profit.

To apply the Fibonacci extension, you must first understand that a market that is trending is the optimum place for it to be used.

In other words, the prevailing market trend must have a distinct direction.

After a market trend and retracement, pick the swing high of the market impulse down to the bottom (swing low), and there you will locate your Fibonacci extension levels.

I already covered all you need to know about the Fibonacci extension, including how to use it and when to utilize it. Feel free to have a look.

Below, you will find the frequently asked questions about Fibonacci retracement Levels above 100:

WHAT IS THE BEST FIBONACCI RETRACEMENT LEVEL?

Although there is no best Fibonacci retracement level, the three most commonly used Fibonacci levels by forex traders are 38.2, 50, and 61.8.

IS FIBONACCI RETRACEMENT POWERFUL?

Yes, Fibonacci retracement is powerful especially when it is combined with support and resistance.

HOW DO YOU USE FIBONACCI RETRACEMENT ALL-TIME HIGH?

To use Fibonacci retracement all-time high, you will locate the recent and low of the trending market; there you draw your Fibonacci to find the pull-back retracement levels.

WHAT IS THE GOLDEN LEVEL IN FIBONACCI RETRACEMENT?

The golden level in Fibonacci retracement is often regarded to be at level 50.

CONCLUSION

One thing that will give you a strong trade entry confirmation is when you combine Fibonacci with support and resistance.