The Fibonacci technique has become one of most popular tool in making technical analysis for traders involved in stock trading, swing trading, options trading and all other kinds of trading systems. Every trader need to understand how to make use of the retracement levels in analyzing the market. Seasoned traders know that combining it with other strategies such as candlestick patterns, moving averages and other methods will help them attain a more accurate picture of the market. Traders who believe that the futures and options markets follow a pattern that can accurately be calculated can make use of the Fibonacci retracement levels.
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