Fibonacci Retracement

Also known as: fibonacci, fib levels, fib retracement

Fibonacci retracements mark levels (23.6%, 38.2%, 50%, 61.8%, 78.6%) of a prior move where a pullback might stall. They work largely because so many traders watch the same levels (self-fulfilling). Use them as confluence with real support/MAs/trendlines — not as standalone magic, and don’t over-fit the anchors.