How to Commodities Trade With Commodities Trading Fibonacci Retracement
Commodities Trading Fibonacci Retracement is an indicator used in commodity to calculate commodities price retracement levels in an upward or a downward commodities trend.
Fibonacci retracement levels are used by commodities traders to place commodities trades and open commodities trades at a better commodities price after commodities price has resumed moving in the original commodity trend direction after retracing.
What are Commodities Trading Fibonacci Retracement Levels?
- 23.6% Commodities Trading Fibonacci Retracement
- 38.2% Commodities Trading Fibonacci Retracement
- 50.0% Commodities Trading Fibonacci Retracement
- 61.8% Commodities Trading Fibonacci Retracement
38.2% and 50.0% Commodities Trading Fibonacci Retracement Levels are the most commonly used
most of the times this is where the commodities price retracement will reach - with 38.2% Commodities Trading Fibonacci Retracement Level being the most popular and most widely used retracement level in commodity.
61.8% Commodities Trading Fibonacci Retracement Level is also commonly used to set stop loss for trades opened using this commodity retracement strategy.
What is Commodities Trading Fibonacci Retracement Strategy using Commodities Trading Fibonacci Retracement Levels?
What is Commodities Trading Fibonacci Retracement Strategy using Commodities Trading Fibonacci Retracement Levels?
Commodities Trading Fibonacci Retracement Strategies in Commodities Trading - Commodities Trading Fibonacci Retracement Indicator Tool Explained
Commodities Trading Fibonacci Retracement Strategies in Commodities Trading - Commodities Trading Fibonacci Retracement Indicator Tool Explained
How Do I Draw Commodities Trading Fibonacci Retracements?
Commodities Trading Fibonacci Retracement Levels tool is drawn in the direction of the commodity trend as shown in the two Fibonacci retracement examples below:.
Commodities Upward Commodities Trend Trading Strategy
In the technical analysis example illustrated and explained below the commodities price is moving up between chart point 1 and chart point 2 then after chart point 2 it retraces down to 50.0% retracement level then commodities price continues moving up in the original upward commodities trend. Note that this commodity retracement indicator is drawn from point 1 to point 2 in the direction of the commodities trading trend (Upward Direction).
Commodities Trade With Commodities Trading Fibonacci Retracement
Commodities Trading Fibonacci Retracement Strategy using Commodities Trading Fibonacci Retracement Levels in an Up Commodities Trend
Once the commodities price hit the 50.0% retracement level, this retracement level provided a lot of support for the commodities price, and afterwards the commodity market then resumed the original upward commodity trend and continued to move up.
For this Fibonacci retracement strategy example, the commodities price retracement reached the 50.0% retracement level, but most of the time the commodity market will retrace up to 38.2% retracement level and therefore most of the time commodity traders set their buy limit commodity orders at the 38.2% Fibonacci retracement level, while at the same time placing a stop just below 61.8% Fibonacci retracement level.
Commodities Downward Commodities Trend Trading Strategy
In the Fibonacci retracement strategy example illustrated and explained below the commodity market is moving down between chart point 1 and chart point 2, then after chart point 2 the commodities price then retraces up to 38.2% retracement level then it continues moving downward in the original downward commodities trend. Note that this commodity retracement indicator is drawn from point 1 to point 2 in the direction of the commodities trading trend (Downward Direction).
Commodities Trade With Commodities Trading Fibonacci Retracement
Commodities Trading Fibonacci Retracement Strategy using Commodities Trading Fibonacci Retracement Levels in a Down Commodities Trend
The above Fibonacci retracement strategy example is a commodity retracement trading setup where the commodities price retraces immediately after touching the 38.2% Commodities Trading Fibonacci Retracement Level.
In this Fibonacci retracement strategy example the retracement of commodities price reached 38.2% retracement level and did not get to 50.0% retracement level. It is always good to use 38.2% retracement level because most times the commodities price retracement does not always get to 50.0% retracement level.
This Commodities Retracement level provided a lot of resistance for the commodities price retracement, this was the best place for a commodity trader to place a sell limit commodity order as the commodity market quickly moved down after hitting this commodities price retracement level.
