Back with a newbie question. What in the blue world?!?!?!
A Swing High is a candlestick with at least two lower highs on both the left and right of itself.
A Swing Low is a candlestick with at least two higher lows on both the left and right of itself.
I read this in the Fibonacci Segment in Babypips’ School. And I must say, Fibonacci sounds like a very useful tool for trading. But then again, may I seek help from everyone here to explain to me what does the above quote mean?
I had same trouble to understood this sentences and as e newbie made some transcription to make it more clear to me:
A Swing High is the top pick with at least two lower picks on the left and right of itself.
A Swing Low is the dippiest valley with at least two less dipper valleys on both the and right of itself.
Put a fractals (which really isn’t) indicator on a chart and study the bars near the signal chrevrons. I think the idea of swing high / swing low will become apparent.
The bars simply show the daily high-low range. The bar near the dead centre is on the 24/11 and it is a swing high it made a higher daily high and a higher daily low, while the two bars before it made successive higher daily highs and higher daily lows, and the two bars after it had successively lower daily highs and lower daily lows.
The bar on 27/11 was a swing low because it now shows the opposite structure - falling lows and highs, followed by rising highs and lows.
A swing high can be used to find a short entry point, and a swing low can be used to find a long entry point.
