Placing Fibonacci Lines on MetaTrader 4

The fifth option on the MT4 platform insert menu is Fibonacci Lines. The Fibonacci Lines Button has the following sub menu buttons shown below:

Fibonacci Cryptocurrency on MetaTrader 4

Fibonacci Lines

1. Fibonacci Retracement
2. Fibonacci Time Zones
3. Fibonacci Fan
4. Fibonacci Arcs
5. Fibonacci Expansion

Fibonacci Retracement

The Fibonacci retracement can be placed on the a Bitcoin chart from the Fibonacci retracement button. Fibonacci retracement is used to estimate where a bitcoin price retracement is likely to reach. The Fibonacci retracement levels are drawn as shown below. To learn how to draw and use Fibonacci Retracement Levels read the tutorial: How to draw Fibonacci Retracement Levels:

Fibonacci Retracement Levels Drawn on a Bitcoin Chart on the MetaTrader 4 Platform

Fibonacci Time Zones

The Fibonacci time zones are Fibonacci lines drawn at different Fibonacci timelines, these Fibonacci time zones are calculated using the Fibonacci points 1, 2, 3, 5, 8, 13, 21, 34. The Fibonacci levels are 1+2=3, 2+3=5, 3+5=8, first number add to the next, the next added to the second and so on.

The Fibonacci time zones are shown below, at these time lines btcusd price changes are likely to occur based on technical analysis of Fibonacci time zones:

Fibonacci Time Zones on MT4

Fibonacci Fan

The Fibonacci fan is drawn between two chart points and then three additional lines below the bitcoin trend are drawn as the fans, these are 38.2%, 50.0% and 61.8% Fibonacci retracement levels. The btcusd price is likely to bounce and continue in the original direction after btcusd price retraces to any of these fan lines.

The Fibonacci Fan Lines are drawn as shown below:

Fibonacci Fans on MetaTrader 4

Fibonacci Arcs

Fibonacci arcs are drawn using two chart points, the arcs are then drawn as shown below and these arcs represent 38.2%, 50.0% and 61.8% Fibonacci retracement levels.

Fibonacci Arcs Representing Fibonacci Retracement Zones on a Bitcoin Chart

Fibonacci Expansion

The Fibonacci expansion is used to determine the most probable level at which traders should set their take profit levels based on Fibonacci expansion level 61.8% and 100.0% expansion levels. The Fibonacci expansion levels are also referred to as Fibonacci Extension Levels or Fibonacci Projection Levels by some traders and these Fibonacci Extension levels are drawn as shown below. Tutorial: How to Draw Fibonacci Expansion Levels:

How to draw Fibonacci Lines and other Fibonacci studies like Fibonacci Expansion and Retracement on MetaTrader 4