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Fibonacci Retracement Calculator

Calculate key retracement and extension levels for technical analysis.

Understanding Fibonacci Retracement

What is Fibonacci Retracement?

Fibonacci retracement is a technical analysis tool that identifies potential support and resistance levels based on the Fibonacci sequence. After a significant price move, traders use Fibonacci levels to predict where price may retrace before continuing the trend.

Key Fibonacci Levels

23.6% โ€” Shallow retracement. Common in strong trends.
38.2% โ€” Mild pullback. Often seen in healthy trends.
50.0% โ€” Not a Fibonacci number, but widely watched. Halfway point.
61.8% โ€” The Golden Ratio. Most important retracement level.
78.6% โ€” Deep retracement. Square root of 0.618.

How to Use

  • โ€ข Identify a clear swing high and swing low on the chart
  • โ€ข Draw Fibonacci retracement from the low to the high (uptrend) or high to low (downtrend)
  • โ€ข Watch for price reactions at Fibonacci levels, especially 38.2%, 50%, and 61.8%
  • โ€ข Combine with other indicators (RSI, MACD) for confirmation

Frequently Asked Questions

What are Fibonacci Retracement levels?

Fibonacci retracement levels are horizontal lines that indicate where support and resistance are likely to occur based on Fibonacci ratios.

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๐Ÿ“Š Data Summary (auto-filled)

Tool: fibonacci-retracement ยท /tools/fibonacci-retracement/

trend: bullish

What is this tool?

Fibonacci retracement calculator for technical analysis in trading. Plots key horizontal levels (23.6%, 38.2%, 50%, 61.8%, 78.6%) between significant highs and lows. These levels represent potential support and resistance zones where price may reverse.

How to use

  1. 1

    Enter swing high

    Input the significant high price level.

  2. 2

    Enter swing low

    Input the significant low price level.

  3. 3

    View levels

    See all Fibonacci retracement and extension levels.

Frequently Asked Questions

What are the key Fibonacci levels?

The most watched levels are 38.2%, 50% (not technically Fibonacci but widely used), and 61.8% (the golden ratio). 61.8% is considered most significant.

How accurate is Fibonacci retracement?

Fibonacci levels work as self-fulfilling prophecies. Best used with other indicators (moving averages, RSI, volume). Never rely on Fibonacci alone for trading decisions.

How do I choose the correct swing high and low for Fibonacci?

Identify the most significant swing points on your chart โ€” these should be clear highs and lows that represent the start and end of a substantial price move. For an uptrend, draw from the swing low to the swing high. For a downtrend, draw from the swing high to the swing low. Use higher timeframe swing points for more reliable levels. Avoid using minor wicks or short-term fluctuations as reference points.