How You Can Identify Turning Points Using Fibonacci

How You Can Identify Turning Points Using Fibonacci

Wayne Gorman

Language: English

Pages: 125

ISBN: B001XURBC6

Format: PDF / Kindle (mobi) / ePub


In this powerful 90-page eBook, EWI Senior Tutorial Instructor Wayne Gorman walks you through a host of charts and real-world exercises, sharing with you valuable tools to help you formulate and execute your own trading strategy by combining wave analysis with Fibonacci relationships.

 

 

 

 

 

 

 

 

 

 

 

 

 

need to be on watch for a truncated fifth or that they are just not working on the weekly. Fibonacci Analysis on the Daily Bar Chart Figure 38 So now we are looking at the daily bar chart of Starbucks. Notice wave 4 in red that we were looking at before. We want to do some Fibonacci analysis based on the daily chart, but let’s first put some wave labels on. Starting from the low at wave 4 in red, we can label waves , , and in blue. I put in the subdivisions of wave so that you can get an

alternation there. Let’s analyze this after I give you some data points that are important. The low for wave iv in brown is 1.4528. The high of wave iii in brown is 1.4760. The low of wave in blue on August 16 is 1.3370. Fibonacci Retracement Analysis Figure 57 The first thing we want to do is get oriented. Where are we in this wave count? Maybe wave iv in brown has not ended. We want to see how wave iv retraces wave iii. I have put up my Fibonacci table. What do we see? We go from the

alternation there. Let’s analyze this after I give you some data points that are important. The low for wave iv in brown is 1.4528. The high of wave iii in brown is 1.4760. The low of wave in blue on August 16 is 1.3370. Fibonacci Retracement Analysis Figure 57 The first thing we want to do is get oriented. Where are we in this wave count? Maybe wave iv in brown has not ended. We want to see how wave iv retraces wave iii. I have put up my Fibonacci table. What do we see? We go from the

of the combination, wave (W), goes past the 50% retracement and comes close to a .618. The wave (W) low is at 1420. The .618 is 1341. I mention because it is common for the first structure of a combination to achieve most, if not all, of the price retracement. Notice that after wave (W), the A wave of the triangle in wave (Y) does go a little bit past the .618. It goes to 1299, slightly past the 1341, and finally achieves a .618 retracement. However, most of the price retracement is achieved by

Using Fibonacci—Part 1.” Figure 37 Let’s get back to the Shanghai Composite Index, and I will point out some Fibonacci relationships. In order to graphically illustrate it, point R is always our starting point for Fibonacci expansions or extensions, but not retracements. Point S is our end point. In this case, we are going from R to S, and then T is where we are extending from. In other words, R is the beginning of wave 1 in red and S is the end of wave 3 in red. We are looking at the net

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