How Do I Calculate Oil Fibo Expansion Levels on Oil Trading Charts?

To Calculate Oil Trading Fibonacci Expansion levels on oil charts we use the oil trading Oil Fibonacci Expansion Indicator

What are the Oil Fibo Expansion Levels?

• 61.8% Oil Fibonacci Expansion Level
• 100% Oil Fibonacci Expansion Level

We use Fibo expansion areas to estimate where the crude oil price movement will reach. There are 2 important fibonacci expansion levels: 61.8% and 100% Oil Trading Fib Expansion levels, these level are used for profit taking.

To draw Fibo expansion we use 3 chart points.

To draw Fibonacci expansion levels we wait until the crude oil price retracement is complete and oil price starts to move in original direction of the Oil Trading trend. Where the retracement reaches is used as point 3.

The example explained below shows the 3 Chart Points where the Fibonacci expansion indicator is drawn, marked as chart point 1, 2 and 3. Chart point 1 is where the crude oil price oil trend started, Chart point 2 is where the crude oil price oil trend retraced and chart point 3 is where the crude oil price retracement reached as shown on the crude oil trading example explained below.

How Do You Calculate Oil Fibo Expansion Levels on Oil Trading Charts?

The two Fibo expansion levels 61.8% & 100% Oil Trading Fibo Expansion levels were then drawn above the Oil Trading Fibonacci Expansion Technical Indicator as shown and illustrated on the crude oil trading example above.