Fibonacci retracements

Updated 2026-09-20

Definition

Levels (23.6%, 38.2%, 50%, 61.8%, 78.6%) used to spot how far a move may retrace.

Why it matters

Many traders watch them, so they can act as reaction areas, but there is no solid evidence they are more predictive than nearby levels. Their merit is providing a clear, repeatable entry criterion.

Practical example

Impulse from 1.0900 to 1.1000: the 61.8% level is at 1.0938.

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Full glossary

Educational content, not financial advice. Trading involves risk.