Trading ForexWith

Fibonacci Technique

Nicholas Tan (CMT, CFTe)

Associate Director LFX and CFD

UOB Kay Hian, Alternative Products

Disclaimer

LFX is a leveraged product. Such investments carry risk where

your losses can exceed your deposit and may not be suitable

for everyone.

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form or by any means without prior written permission/consent

of UOB Kay Hian.

No warranty or representation, express or implied, is made

with respect to the information set out in this proposal, nor will

UOB Kay Hian be responsible for the consequence of reliance

on any opinion or statement set out herein.

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Fibonacci Knowledge Base

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The Fibonacci Number Series

Numbers series discovered by Leonardo Fibonacci Da Pisa

0,10,1,10,1,1,20,1,1,2,30,1,1,2,3,50,1,1,2,3,5,80,1,1,2,3,5,8,130,1,1,2,3,5,8,13,21,34,55,89,144,233,377Fn

= Fn-1 + F

n-2

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Example of Fib Ratio 0.618

0,1,1,2,3,5,8,13,21,34,55,89,144,233 )..

144 divided by 233 = 0.6180

89 divided by 144 = 0.6180

55 divided by 89 = 0.6179

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Example of Fib Ratio 0.38

0,1,1,2,3,5,8,13,21,34,55,89,144,233 )..

89 divided by 233 = 0.3819

55 divided by 144 = 0.3819

34 divided by 89 = 0.3820

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How To Use Fibonacci In FX Trading

• Finding an entry point

• Using Fibonacci Retracement

• 0.382, 0.50 or 0.618

• Another 2 possible Fibonacci ratios to use

• 0.23 in a strong trend

• 0.77 as a warning

• Projecting a profit target

• Using Fibonacci Projection

• 127%, 161.8%, 261.8%

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Fibonacci Trading Application

In trading Fibonacci retracement

• Ratio used

• 0.382

• 0.50

• 0.618

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Fibonacci Retracement Example

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Point A

Point B

Fibonacci Retracement Example

Buy

Target

Point A

Point B

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From Entry To Projecting Target

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From Entry To Projecting Target

On a bigger levelOn a bigger level

Using 0.23 ratio

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From Entry To Projecting Target

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From Entry To Projecting Target

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From Entry To Projecting Target

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Confluence Increases Probability

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Confluence Increases Probability

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Confluence Increases Probability

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Picking The Turning Points

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Picking The Turning Points

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Questions & Answers