How to Draw Commodity Trading Fib Retracement on a Downward Commodities Trend
How Do I Use Commodities Trading Fibonacci Retracement Indicator on Downward Commodities Trend?
Traders use Commodity Trading Fib retracement tool to determine where to place a sell commodity trade in a commodity downward trend.
How to Draw Commodity Trading Fib Retracement on a Downward Commodities Trend
To Draw the Commodity Trading Fib retracement indicator tool the first thing to know is that this Commodities Trading Fibonacci Retracement indicator tool is always drawn in the direction of the commodities trend.
If the commodity trend is downwards - Commodities Trading Fibonacci Retracement indicator tool is drawn downwards.
How to Draw Commodity Trading Fib Retracement in a Downward Commodities Trend
In the commodity example illustrated and explained below of how to draw the Commodity Trading Fib Retracement tool, the commodity market commodity trend is moving down between chart point 1 and chart point 2, and then after chart point 2 the commodities price then retraces up to 38.2% Commodity Trading Fib retracement level then it continues moving downwards in the original downward commodities trend. Note that this Commodity Trading Fib retracement indicator is drawn from chart point 1 to chart point 2 in the direction of the Commodities Trend (Downwards Direction).
How to Draw Commodity Trading Fib Retracement on a Downward Commodities Trend
Technical Analysis of How to Draw Commodity Trading Fib Retracement in a Down Commodities Trend
The above Commodity Trading Fib Retracement technical analysis example commodity setup is a Commodity Trading Fib Retracement setup where the commodities price retraces immediately after getting to the 38.2% Commodities Trading Fibonacci Retracement Level.
In this Commodity Trading Fib Retracement technical analysis example the retracement of the commodities price reached 38.2% Commodity Trading Fib retracement level and did not get to 50.0% Commodity Trading Fib retracement level. It is always good for commodities traders to use the 38.2% Commodity Trading Fib retracement level because most times the commodities price retracement does not always get to 50.0% Commodity Trading Fib retracement level.
This 38.2% Commodity Trading Fib 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 commodity trend quickly moved down after retracing to this commodities price retracement level.
Tutorial of How to Draw Fibonacci Commodity Technical Indicator Tool on Commodity Trading Charts
Tutorial of How to Draw Fibonacci Commodity Trading Indicator Tool on Commodity Trading Charts
