Read CFDs Fibonacci Retracement vs CFDs Fibonacci Expansion
How Do You Trade CFDs Fibonacci Retracement vs CFDs Fibonacci Expansion?
Fibonacci retracement is drawn between 2 chart points but Fibo expansion is plotted using Three chart points.
CFDs Fibonacci Retracement indicator example explained and illustrated below - where the cfd trend is moving downwards between CFD Chart point 1 and CFD Trading Chart point 2 - then after CFD Trading Chart point 2 the cfd price retraces then it continues moving up in the original upwards trend. Note that this CFDs Fibonacci Retracement indicator is drawn from CFD Trading Chart point 1 to CFD Trading Chart point 2 in the direction of the market trend.
Read CFDs Fibonacci Retracement vs CFDs Fibonacci Expansion?
CFD Fibonacci Expansion Levels
Fibo retracement indicator is drawn between 2 chart points but Fibo expansion is plotted using 3 chart points.
To draw these CFD Fibonacci Expansion levels cfd traders will wait until the cfd price retracement is complete & the price starts to move in original direction of the trend. Where the cfd price retracement reaches - this point is used as chart point 3 for Fibonacci expansion indicator.
The CFD Fibonacci Expansion indicator example explained and illustrated below shows the 3 chart points where the CFD Fibonacci Expansion indicator is drawn, marked as chart point 1, 2 and 3. CFD Trading Chart point 1 is where the cfd trend started, CFD Chart point 2 is where the price pulled back and retraced and Chart point 3 is where the price retracement reached as illustrated on the CFD Fibonacci Expansion indicator examples explained and illustrated below.
How Do You Trade CFDs Fibonacci Retracement vs CFDs Fibonacci Expansion?
Please note where these Fibonacci expansion levels are drawn - CFD Fibonacci Expansion zones are plotted above the CFD Fibonacci Expansion indicator - these are the points where a trader will set cfd trading take profit orders.
Analyze CFDs Fibonacci Retracement vs CFDs Fibonacci Expansion?
