Fibonacci tools
Fibonacci arcs
Curved lines at 38.2%, 50% and 61.8% of a move's length, combining price and time.
The idea in plain words
Arcs suggest that support during a pullback depends on both how far the price has fallen and how long it has taken.
How it is calculated
Click the start and end of the move; arcs are drawn around the end point with radii of 38.2%, 50% and 61.8% of the distance between the points (on the screen).
radius = distance(start, end) × ratioHow to use it
- Watch for pullbacks to stop when they touch an arc.
Drawing conclusions
- Because arcs are drawn on screen, zooming changes their shape.
Example
A pullback in GBPUSD reaches the 50% arc after eight candles and turns back up.
Prices in examples are illustrative.
Watch out for
- Scale-dependent; use as a rough guide only.
A little history
A variant of Fibonacci analysis.
Educational content only. No indicator or pattern predicts the future, and nothing here is investment advice.