Fib Extension MT4 Indicator Analysis

Take Profit Order Level Trading Calculator

We use Fibonacci Expansion Levels to project where the market trend move will reach. There are Two important Fibo Expansion levels: 61.80 % & 100 % Fib Expansion Levels, these are used for taking profit.

To draw Fibo Extension levels on the MT4 stocks chart we wait until the price retracement is complete & stocks trading price starts and begins to move in original direction of the trend. Where the price retracement reaches and gets to is used as chart point 3. Fibonacci Extension MT4 Indicator is drawn/plotted using three chart points just as is displayed on the illustrations expounded below of how to plot the Fibonacci Expansion Indicator MetaTrader 4 Tool.

The Fib Extension MT4 Indicator examples expounded below shows the Three Chart Points where the Fib Extension MT4 stocks indicator is drawn, marked as Chart point 1, Chart point two & Chart point 3.

Point 1 is where the trend started, Point 2 is where the trend pulled back & retraced & Chart point 3 is where the retracement reached like as displayed on the Fib Extension MT4 Indicator Tool example illustration described below.

Fib Extension Stock Indices Trade MetaTrader 4 Indicator - Fibo Extension Calculation

Fib Expansion Indices Trade MetaTrader 4 Indicator - How to Use Fib Extension in Indices Trade

Fib Extension Stock Index Trade MT4 Indicator - Fibonacci Expansion Calculation

Please take note where these Fib Expansion levels are drawn - Fibonacci Expansion levels are plotted above the MT4 Fib indicator, these are chart points where one will set take-profits using these Fibonacci Expansion Levels - 61.8 % & 100.00 % Fib Expansion Areas.

Indices Fibonacci Expansion Calculator

We use Fibonacci Expansion Levels to project where the trend move will reach. There are Two important Fibo Expansion levels: 61.8% Indices Trade Fibo Expansion Level & 100 % Fibonacci Expansion Level, these Fib Expansion Levels are used for taking profit.

On the Fib Extension MT4 indicator example explained & illustrated below you as a trader can see that the Fib Extension MT4 stocks indicator is plotted along the direction of the trend, since the trend is upwards - the MetaTrader 4 Fib Extension indicator is drawn upward.

These Fib Expansion levels are shown as horizontal lines above the Fib Extension MT4 indicator, showing profit booking areas. In the illustration explained below if you had used the 100.00% Fibonacci Extension level the you would have made good profit from the trade set-up.

Fib Extension MetaTrader 4 Indicator - How Do I Use Fibonacci Extensions in Indices Trade?

Fib Expansion Indices Trade MT4 Indicator - Fibo Expansion Calculation

Fib Extension Stock Index Trade MT4 Indicator - Fibonacci Expansion Calculation

From above Fib Extension MT4 indicator example, upward trend continued & both 61.8% and 100.0 % Fib Extension levels were all hit after which the price retraced again after getting to the 100.0% Fibonacci Expansion zone.

Stock Index Fibonacci Expansion Calculator

Since we use the Fib Extension MT4 stocks tool to gauge/estimate takeprofit areas, how do we draw MT4 Fib Extension in a downward trend?

We draw the Fib Extension MT4 stocks tool from chart point 1 to chart point 2 to chart point 3 just as is illustrated and shown on the illustration explained below. Remember we always draw this Fibonacci Extension MT4 stocks tool in the direction of the market price trend. In the Fibonacci Expansion example explained and shown below, can you figure what is the direction which we've drawn it? That's right - downwards direction.

Try & identify the difference between how we have drawn Fibo Extension technical indicator above & how Fib Extension technical indicator is drawn below. This time you'd also have used Fibo Expansion zone 100.00%, just where the price reached just as is illustrated and shown on the illustration illustrated below. That would have been a good area for profit booking.

Fib Extension Index Trade MetaTrader 4 Indicator - How to Use Fib Extension in Indices Trade

Fib Expansion Indices Trade MT4 Indicator - Fibo Expansion Calculation

Fib Extension Stock Index Trade MetaTrader 4 Indicator - Fibonacci Expansion Calculation

From the Fib Extension MetaTrader 4 trading indicator examples above, after drawing this MT4 Fib Extension tool there are 2 levels which are used to display the profit booking areas, these 2 Fibonacci Expansion levels are drawn as horizontal lines across price chart labeled and marked as 61.8 % Indices Trade Fibonacci Extension Level and 100 % Fib Expansion Level.

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