Placing Fibonacci Lines on MT5
The fifth option on the MT5 crude oil trading platform insert menu is Fibonacci Lines. The Fibonacci Lines Button has the following sub menu MT5 buttons shown below:
Fibonacci Oil Trading in MetaTrader 5
Fibonacci Lines
- Oil Trading Fib Retracement
- Oil Trading Fib Time Zones
- Oil Trading Fib Fan
- Oil Trading Fib Arcs
- Oil Trading Fib Expansion
Oil Trading Fib Retracement
The Fibonacci retracement can be placed on the a Oil Trading chart from the Fibonacci retracement button key. Fibonacci retracement is used to estimate where a oil price retracement is likely to reach. The Fibo retracement levels are drawn as shown below. To learn how to draw & use Oil Fib Retracement Levels read the course: How to draw Oil Trading Fibonacci Retracement Levels:
Oil Fibonacci Retracement Levels Drawn on a Oil Trading Chart on The MT5 Oil Trading Software
Crude Oil Trading Fibonacci Time Zones
The Fibonacci time zones are Fibonacci lines drawn at different Fibonacci timelines, these Fibonacci time zones are calculated using Fibonacci points 1, 2, 3, 5, 8, 13, 21, 34. The Fibo areas are 1+2=3, 2+3=5, 3+5=8, first number add to the next, next added to the second & so on.
The Fibonacci time zones are shown below, at these time lines crude oil price changes are likely to occur based on crude oil analysis of Fibonacci time zones:
Fibo Time Zones on MetaTrader 5
Crude Oil Trading Fibonacci Fan
The Fib fan is drawn between 2 chart points & then 3 additional lines below the oil trend are drawn as the fans, these are 38.20%, 50.00% and 61.8% Fibonacci retracement levels. The crude oil price is likely to bounce and continue in the original direction after crude oil price retraces to any of these fan lines.
The Fib Fan Lines are drawn as shown below:
Fib Fans on MT5
Crude Oil Trading Fibonacci Arcs
Fibonacci arcs are drawn using two chart points, the arcs are then drawn as shown below & these arcs represent 38.2%, 50.0% & 61.8% Fibo retracement levels.
Fibo Arcs Representing Oil Trading Fibonacci Retracement Zones on Oil Trading Chart
Crude Oil Trading Fibonacci Expansion
The Fibonacci expansion is used to determine most probable level at which traders should set their take profit levels based on Fibonacci expansion level 61.8% & 100.0% expansion levels. The Fibo expansion levels are also referred to as Oil Trading Fibo Extension Levels or Fibo Projection Levels by some traders & these Oil Trading Fibo Extension levels are plotted as shown below. Tutorial: How to Draw Oil Fib Expansion Levels:
How to draw Fibo Lines & other Fibo studies like Oil Trading Fibonacci Expansion and Retracement on MetaTrader 5
