Fib Extension MT4 Indicator Analysis

Take Profit Order Level Trading Calculator

We apply Fibonacci Expansion Levels to predict where a market trend might end. Key levels include 61.8% and 100%, often used for profit targets.

To mark Fibo Extension levels on the MT4 stocks chart, we wait for the price to pull back completely, and then for the stocks trading price to start moving in the original direction of the trend. The point where the price pulls back to is used as chart point 3. The Fibonacci Extension MT4 Indicator is drawn using three chart points, just like the pictures below show for how to mark the Fibonacci Expansion Indicator MetaTrader 4 Tool.

The examples below for the Fib Extension MT4 indicator mark three points. They are labeled as point 1, point 2, and point 3 on the stock chart.

Point 1 marks the trend's start. Point 2 shows the pullback. Point 3 ends the retrace, as seen in the Fib Extension tool example below.

Fib Extension for Stock Indices in MT4 - How to Calculate Fibo Levels

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 pay attention to where these Fib Expansion levels are located: Fibonacci Expansion levels are marked above the MT4 Fib indicator: these are chart spots where someone would put take-profit orders using these Fibonacci Expansion Levels, which are the 61.8% and 100.00% Fib Expansion Areas.

Indices Fibonacci Expansion Calculator

Fibonacci expansion levels help predict trend targets. Key levels are 61.8% and 100%. Traders use them to set profit targets in index trades.

On the Fib Extension MT4 indicator example explained & illustrated below you 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.

Fibonacci Expansion levels appear as horizontal lines above the Fib Extension MT4 indicator, marking profit-taking points. For example, using the 100.00% Fibonacci Extension level as shown in the illustration could yield significant profits based on your trade setup.

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

In the Fib Extension MT4 example from above, the uptrend kept going. It reached the 61.8% and 100.0% levels. Then prices pulled back after the 100.0% Fibonacci zone.

Stock Index Fibonacci Expansion Calculator

We use the Fib Extension MT4 tool for take profit zones. How do you draw MT4 Fib Extension in a downtrend?

We draw the Fib Extension MT4 stocks tool from chart point 1 to chart point 2 to chart point 3 just as is 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 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

In the examples above for the Fib Extension MetaTrader 4 trading indicator, two levels are created once the MT4 Fib Extension tool is applied. These two Fibonacci Expansion levels appear as horizontal lines on the price chart, clearly marked as the 61.8% Indices Trade Fibonacci Extension Level and the 100% Fib Expansion Level.

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