As you know, I use few technical indicators, but the main are Fibonacci Retracement and Extension levels. It is already built in MT4, but you have to configure it so you can use most popular Retracement and Extension levels at one time. Here is how to do it step by step.
1. Where can you find Fibonacci Retracement in MetaTrader4?
Go to top bar and find Fibonacci Retracement icon:
Or you can go to the top menu and select Insert -> Fibonacci -> Retracement:
2. How to change Fibonacci retracement and extension levels?
When you have selected Fibonacci tool described in point 1., draw it on a chart. Now, double click on the line that goes from 0 to 100%:
And click mouse right button. Next, select Fibo properties:
3. Fibonacci retracement and extension levels list
In Fibo properties, go to the second tab. You will find there a table with two columns: Level and Description:
Probably you will see some default values. You can edit fields and add new ones. Correct the list in the second tab so it look like list below:
| Level | Description |
|---|---|
| 0 | 0.0 |
| 0.236 | 23.6 |
| 0.382 | 38.2 |
| 0.5 | 50.0 |
| 0.618 | 61.8 |
| 0.786 | 78.6 |
| 0.882 | 88.2 |
| 1 | 100 |
| -0.27 | 127 |
| -0.382 | 138.2 |
| -0.618 | 161.8 |
| -1 | 200 |
These are levels that I use in my daily trading. Sure, you can customize this list so it fit your trading style. You can add levels like 261.8, 150 etc. In my experience, you are good to go with the list I provided above:
Dear Simon,
I can’t thank you enough for the great, precise and to the point explanation of the Fibo Tool. Though I had seen a number of such tuts, yours is by far the best and the most effective. You indeed are a natural teacher. I wish you all the best and Thanks once again
Regards,
Ramani
This is the Best tutorial I have seen on fibo. I have downloaded my PDF. thanks a lot. God Bless you.
Thanks for kind words 🙂
Hi Simon
Easy to follow instructions. Was successful in making my charts all the more useful.
Question though: Is there a way to edit the fib level line colours, so that for instance the 0.236,0.382,0.500 and 0.618 retracements correspond with the 1.618 extension and all have the same colour line. Whereas the 0.786 retracement corresponds to the 1.270 extension, but have different coloured lines, as do the 0.860 retracement and 1.180 extension.
Just a thought, it make the charts so much clearer.
Regards
Tony
Hi Tony.
Very good idea with color match, but there is no way you can do it in Metatrader. Maybe in some other trading platform, but not here.
Good luck. If you have any Fibo questions, let me know 🙂
Simon
Hi simon
i am from indonesia. i like your blog about fibo and some other tools. even my english is not good enough but i can understand what you reading. it is easy and simple to learn it. perhaps someday you put some video how to train with fibo and the others tool
thanks…
Hi thanks for the teachings about fibo configure pls how can fix different colors in different fibo levels, thanks.
You can’t do this in Metatrader. If you need this then try Tradingview, you can configure Fibo in similar way and set different colors for each level.
Thanks so much..I have looked for this all over..I can’t thank you enough.. thanks so much…it worked
great, this is a great tool to trade with. Good luck!
Hello Simon, I have read up a lot of articles on Fibo trading but shallowly understood them. But man alive, with you it just became clearer and easier to do. You are a natural. Thank you a lot for being the kind and generous person that you are. Question, do you have a youtube channel maybe, or videos OF YOURSELF that you can share on Fibo trading?
Nope, but I work on some bigger course with my full strategy. Should be out in the first half of 2019. Follow my blog. FB and insta 😉