Which retracement indicator is most widely used by professional currency traders, Fibonacci retracement lines or Pivots? Or is it a case of to each his own?
Probably split pretty well. I know a lot of the professional computer systems used by larger broker firms are set to calculate off fib retracements, but i have used pivots before and they have an undeniable presence in the markets as well.
I think you’d be fine trading either, or both combined. I mean, there is no reason why you can’t have pivots on your charts and trade fib points in conjunction with them and use pivots as extra points of support and resistance or targets to take profits, etc.
For pivots i’d say its more a time frame dependency on how your going to use them… Hourly rolling pivots, daily, weekly, etc. are all going to have different price reactions to those levels (i.e. bigger reactions to bigger pivot points, smaller reactions on hourly pivots, etc), so it really depends on how your looking to trade charts.
Cheers!
hi
well fibo is much better to use and with adding trend lines and support and resistance lines you have powerful combination.market is ignoring pivot points in many cases.
have a good one
i luse the chart system from fxcm, they upgraded a new one. they have “dot” pivots indictor and i dont know how to use/read them… can anyone help? thank you!
can you post a picture
It looks like its putting pivot levels on each 30 minute bar…
You could make a “system” out of that… i.e. sell if price action hits the r2 level of the bar, or buy if price action hits the s2 level… combined with some basic MA’s for trend bias it could work. I’ve seen worse! 
Here is an example of a daily floor trader pivot (pp,r1,s1,r2,s2,r3,s3)
Cheers!
well thats strange it should look like on the deadalus picture you should contact support center and ask them i use mt4 platform and never had that problem.
BOTH should be used. Fib and pivot confluence will normally create a price reaction point. If you don’t know where all the potential levels are you’re not giving yourself a chance. You could use a Pivot Scanner to check multiple currencies for pivot confluence levels and then layer over major fibs on the output from the scanner.
Neither is a requirement of a trader’s success, so it is not fitting to say both should be used… or either for that matter.
To answer the poster’s question, one doesn’t hold more precedence than the other. When reading financial news I have heard both pivot and fibs talked about. On a personal note, I never use pivot points.
Fair enough - perhaps I should change “Should” to “Could”. In view of the subjective nature of TA perhaps “The Force” could also be considered in the array of tools at the trader’s disposal …
I’ve seen both being used widely, and personally I use them both.
In my experience both are respected most of the time, sometimes a pivot, sometimes a fib level, but the fact is that price reacts to them.
But as any other form of support/resistance, I guess the best way to discern which one is the one is the confluence of factors at that particular level, and if you’re patient, waiting for price confirming the reversal will definitely give you better odds.
In conclusion, both work, but none of them is a stand alone way of trading. The more factors aligning at a particular level, the better.
Both of them are very ok. But it better you use the one that come first. In other word you need to calculate the too, then choose the one that come first. They are always some pips away from each other