How Do I Calculate Commodity Trading Fibonacci Expansion Levels Technical Indicator on Commodity Trading Charts?
To Calculate Commodity Trading Fibonacci Expansion levels on commodities charts we use the commodity Fibonacci Expansion Indicator
What are the Commodity Fibo Expansion Levels?
- 61.8%Commodity Fibo Expansion Level
- 100% Commodity Fibo Expansion Level
We use Fibonacci expansion levels to estimate where the commodities price movement will reach. There are 2 important fibonacci expansion areas: 61.8% and 100% Commodity Trading Fibo Expansion levels, these levels are used for profit taking.
To draw Fib expansion we use 3 chart points.
To draw Fibonacci expansion levels we wait until the commodities price retracement is complete & the commodity instrument starts to move in the original direction of the Commodities trend. Where the retracement reaches is used as point 3.
The example illustrated and explained below shows the 3 Chart Points where the Fibonacci expansion indicator is drawn, marked as chart point 1, 2 and 3. Chart point 1 is where the commodities price commodity trend started, Chart point 2 is where the commodities price commodity trend retraced and chart point 3 is where the commodities price retracement reached as illustrated on the commodity examples illustrated & described below.
How Do I Calculate Commodity Trading Fib Expansion Levels Technical Indicator on Commodity Charts? - Commodity Trading Fibonacci Expansion Indicator Explained
The two Fibo expansion levels 61.8% and 100% Commodity Trading Fibonacci Expansion levels were then drawn above the Commodity Trading Fibonacci Expansion Indicator as shown and illustrated on commodity example above.
