Fib Value Ratio

Beginner Questions
1

Hi, I just started learning about Fibonacci Ratio in BabyPips School. I learn better when I apply what I learn, so I use a demo account from Oanda with Mt4.

I noticed that when I try to apply Fibonacci Retracement and Extension with MT4, the fib ration MT4 uses is missing some ration and also have some more ratio babypips did not mention. Upon researching, I stubled upon this pdf
fx-knight.com/dl/Fibo.pdf

It shows how I can modify the Fibonacci Retracement tool in MT4 so that it would display the ratio I want. But their example has alot of ratios.

Starting out, should I use all the ratios the PDF has, or should I just use the ratios babypips School taught, or perhaps you can suggest me some ratios that I should use.

Thank you

2

what ratios are you talking about? maybe you could list them all here.

the reality is, you do not need all of them. you can use a few to concentrate on. if you use support and resistance in your trading, use it as your main tool, then the Fibonacci ratios as a secondary tool.

3

Okay, Thank you for the reply. I will follow your advice and use the ratio that this site mentioned.
I listed the ratios I was talking, so you can see how I was confused.

for babypips.com they list these fibs ratio
Fibonacci Retracement Levels
0.236, 0.382, 0.500, 0.618, 0.764

Fibonacci Extension Levels
0, 0.382, 0.618, 1.000, 1.382, 1.618

The default MT4 Ratios are these
Fibonacci Retracement Levels
0, 0.236, 0.382, 0.5, 0.618, 1.0

Fibonacci Extension Levels
1.618, 2.618, 4.236

Then the pdf I read use these ratios
Fibonacci Retracement Levels
0, 0.146, 0.236, 0.382, 0.5, 0.618, 0.786, 0.86, 0.942 100.0

Fibonacci Extension Levels
1.18, 1.27, 1.382, 1.618, 2.00, 2.618, 4.236

4

Too much ratios will just confuse you.Even 2 or 3 ratios are enough in my opinion and i think that you should use just use the ratios babypips school taught you.

5

I just use 0.0, 50.0, and 100.0. To many ratios make for a messy chart with far to many lines. I like to just keep it simple while trying to minimise the margin for mistakes.

6

to reduce clutter on MT4 charts, I delete some of the lines and labels.

for example, if I use 0.0, 38.2, 50.0 and 100.0, my labels will read as “0”, “38”, “50” and “100” and all have lines except 38.2. the reason I do not have a line for 38.2 is because I already memorized visually the location of 38.2

7

I strongly advice you to read Mr.Joe Dinapoli book , This is not some kind of ads , It’s just advice from a friend.

8

Guys do not use Fibs the way they generally teach you by taking swing high swing low. Thats just invented by the markerters. We use Fibs in a different way and we do not under any circumstance measure candle points with fibs unless we are looking at history. And thats pointless if your a trader becuase we need to forecast price early. before price is created . We keep it a secret or the marketers will start selling it.

9

it sucks…marketeers! means we cant teach or they will sell it…we should kill them…

10

how do use them? like many tools and indicators, Fibs can be used in a variety of ways. the ‘general’ way works too.

11

I have a thread, its all within out about fibs and advanced pivots…301 Moved Permanently