Hi guys, I’m sure this is just me being really stupid but I’m having a nightmare using the Fibonacci tool on TradingView. I have included a screenshot of my attempt. I know I am supposed to draw it from the swing highs to swing lows or vice versa…what am I getting wrong? TIA
Move your chart to the left just so that the high is visible. Click on the little circle that appears at the top of the fib trendline and drag to the far right of chart or as required while ensuring that the 0% line remains flush with the high.
You should also see a small pop-up window at the top of the chart where you can adjust your fib settings. Here you can add/remove fib levels and perhaps remove all that coloring by simply unchecking the ‘Background’ box…
Apologies, I didn’t quite make myself clear in my original post. What I suggested was in fact a workaround to the problem you seemed to have had in your very first chart i.e your retracement levels weren’t extending far enough across the chart (it’s a problem I’ve encountered myself and it’s TradingView issue - poor design, I say). I assumed that you otherwise knew how to trace fibs on a chart.
Anyway, TradingView appears to have fixed the problem…
That said, your very first effort seems fine but for the retracement level issue. Also given the proximity of the low you’ve selected to the lowest low on the chart, the lowest low might have been a better option in this instance. Your last three efforts you can discard - no good.
I don’t quite have the time at the moment but I’ll post a couple of charts when I do. In the meantime, you might want to go through the following lessons:
Trading Divergences Archives
Support and Resistance Levels Archives
Japanese Candlesticks Archives
Fibonacci Archives
Why? Because if you REALLY want to trade with fibs with any degree of success you’'ll need to know and understand -at the very least -all of the above …Enjoy!
Why do you think you are wrong?
Because the levels do not extend across the chart
See below image for examples of how fib retracement levels may be plotted on a price chart. A li’l bit messy but if you work your way from left to right and observe the colour codes you shouldn’t have a problem identifying the swing highs/lows and which levels and fib trend lines go together. Note, to reduce clutter I’ve included only the relevant retracement levels.
