• Fibonacci Series
  • Golden Ratio
  • Fibonacci for Supports
  • Fibonacci for Resistances

Leonardo Fibonacci

  • The “greatest European mathematician of the middle ages”
  • He was one of the first people to introduce the Hindu-Arabic numeric system into Europe
  • He created the famous Fibonacci series

The Fibonacci Series

  • Fibonacci series is a unique series of numbers
  • Each number is the sum of the previous two numbers

Golden Ratio

  • On any given line we have a unique point in the way it divides the line
  • b/a = a/a+b = 0.618
  • The result of the division is the Golden Ratio
  • Denoted as the Greek Letter Phi

Golden Rectangle – Golden Spiral

  • A golden rectangle is based on the Phi Ratio
  • The relationship between its two sides is the number Phi
  • Using this golden rectangle we can create a golden spiral

PHI in Nature

  • Branches and roots extend based on Fibonacci numbers
  • The golden spiral is seen in sea shells
  • The golden spiral is seen in Hurricanes
  • The golden spiral is seen in water

PHI in The Universe

  • Phi can be found in space
  • This galaxy follows the shape of a golden spiral

PHI in the Human Body

  • Body measurements are based on Phi
  • Even our DNA is made of golden rectangles

PHI is Everywhere

  • Φ is everywhere around us
  • Do you think we can not find it in the financial markets?
  • Prices find supports and resistances at the Fibonacci ratios

Fibonacci for Supports in an Uptrend

  • For supports
  • Draw Fibonacci from the ATL to ATH, from left to right
  • Use the 23.6%, 38.2% and 61.8% levels for potential supports

Fibonacci for Resistances in an Uptrend

  • For Resistances
  • Draw Fibonacci from the ATH to last bottom, from left to right
  • Use the 161.8%, 261.8%, and 423.6% levels for potential resistances

Fibonacci for Resistances in an Downtrend

  • For resistances
  • Draw Fibonacci from the ATH to ATL, from left to right
  • Use the 23.6%, 38.2% and 61.8% levels for potential resistances

Fibonacci for Supports in an Downtrend

  • For Supports
  • Draw Fibonacci from the ATL to last top, from left to right
  • Use the 161.8%, 261.8%, and 423.6% levels for potential supports