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Fibonacci Retracement Levels

Fibonacci retracements
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Technical-oriented traders use Fibonacci retracement levels in order to determine potential support and resistance areas. These areas are where changes of trends in price movements will be visible. The beauty of these retracement levels is that on the one hand they are calculated on a very precise and complex mathematical basis, but on the other hand constitute a self-fulfilling prophecy due to the fact that so many traders use them to determine the support and resistance levels which they often base their trades on.   Once retracement levels have been identified, the following step would be to calculate Fibona...