How to Analyze Fibonacci Expansion Levels on XAUUSD Charts
Read Fibonacci Expansion Levels on XAUUSD Charts
To Calculate Fib Expansion levels on gold charts we use the Fibonacci Expansion Indicator
What are the Fibo Expansion Levels?
- 61.8% Fibo Expansion Level
- 100% Fib Expansion Level
We use Fibo expansion areas to estimate where the price movement will reach. There are 2 important xauusd fibonacci expansion levels: 61.8% and 100% Fibonacci Expansion levels, these level are used for taking profit.
To draw Fibonacci expansion levels gold trading indicatorwe use 3 chart points.
To draw Fibonacci expansion levels we wait until the gold price retracement is complete and gold price starts to move in original direction of the XAUUSD trend. Where the gold price retracement reaches is used as chart point 3.
The xauusd example shown below shows the 3 Gold Chart Points where the Fibonacci expansion indicator is drawn, marked as chart points 1, 2 and 3. Gold Chart point 1 is where the price trend started, Gold Chart point 2 is where the price trend retraced and gold trading point 3 is where the price retracement reached as shown on the gold trading example below.
Analyze Fibonacci Expansion Levels on XAUUSD Charts?
The two Fibo expansion levels 61.8% & 100% Fibonacci Expansion levels were then drawn above the Fibonacci Expansion XAUUSD Indicator as shown on the xauusd example above.
How Do I Analyze Fibo Expansion Levels on XAUUSD Charts
