{"id":919,"date":"2020-08-19T20:53:13","date_gmt":"2020-08-19T12:53:13","guid":{"rendered":"https:\/\/www.btse.com\/blog\/?p=919"},"modified":"2023-03-08T09:11:13","modified_gmt":"2023-03-08T09:11:13","slug":"trend-based-fib-extensions","status":"publish","type":"post","link":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/","title":{"rendered":"Beginner\u2019s Guide to Trend-Based Fib Extensions"},"content":{"rendered":"

By @savdoescrypto<\/a><\/span><\/p>\n

Trend-Based Fib Extensions use Fibonacci Ratios to predict future prices. Such ratios are observable throughout much of nature. It is often speculated that they may also be present in the price cycles of exchange-traded assets. <\/strong><\/p>\n

Whether one believes this or not, most traders now acknowledge that the popular use of Fibonacci ratios in individual and algorithmic trading strategies has given the ratios an almost self-fulfilling predictive merit.<\/p>\n

In order to use this tool, all a trader needs are three points on a chart:<\/p>\n

    \n
  1. The start of a move<\/li>\n
  2. The end of a move<\/li>\n
  3. The end of a retracement against that move<\/li>\n<\/ol>\n

    Using these three points, a trader can plot a Trend-Based Fib Extension to determine profit targets or points of resistance.<\/p>\n

     <\/p>\n

    How to Plot a Trend-Based Fib Extension<\/strong><\/h3>\n

    Step 1: <\/strong>Load up a chart on the BTSE platform<\/p>\n

    <\/div>\n

    Step 2: C<\/strong>lick \u201cGann and Fibonacci Tools\u201d in the left toolbar<\/p>\n

    <\/div>\n

    Step 3: <\/strong>Select \u201cTrend-Based Fib Extension\u201d from the drop-down menu<\/p>\n

    <\/div>\n

    Step 4: <\/strong>Click the mouse three times at the following points<\/p>\n

      \n
    1. First, click on the low from which a move started<\/li>\n
    2. Then click on the high where that move ended<\/li>\n
    3. Then click on the end of the retracement of that move<\/li>\n<\/ol>\n
      <\/div>\n

      Step 5: <\/strong>Extend the Fib Extension horizontally, ensuring that the 0 line stays on point #3.<\/strong><\/p>\n

      <\/div>\n

      Step 6: <\/strong>Expand the Y-axis range to see higher Fib Extensions<\/p>\n

      <\/div>\n

       <\/p>\n

      How To Use Trend-Based Fib Extensions <\/strong><\/h3>\n
        \n
      • Traders might use the various extension levels as an objective way to set profit targets.<\/li>\n
      • Profit-taking can also be staggered with sell orders spread across many fib extensions.<\/li>\n
      • Counter-trend traders might choose to use the extensions as resistance points from which to enter short positions.<\/li>\n<\/ul>\n

         <\/p>\n

        Limitations Of Trend-Based Fib Extensions<\/strong><\/h3>\n
          \n
        • This is a predictive indicator that assumes the market will exhibit cycles that accord with the Fibonacci ratio. This assumption may not be true.<\/li>\n
        • Traders using this indicator to predict future prices should expect false signals and plan for them accordingly with strict risk management practices.<\/li>\n<\/ul>\n

           <\/p>\n

          \n
          \n
          \n<\/div>\n

          Our aim is to create a platform that offers users the most enjoyable trading experience. If you have any feedback, please reach out to us at\u00a0feedback@btse.com or on Twitter @BTSE_Official.<\/em><\/p>\n

          Note: BTSE Blog contents are intended solely to provide varying insights and perspectives. Unless otherwise noted, they do not represent the views of BTSE and should in no way be treated as investment advice. Markets are volatile, and trading brings rewards and risks. Trade with caution.<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

          By @savdoescrypto Trend-Based Fib Extensions use Fibonacci Ratios to predict future prices. Such ratios are observable throughout much of nature. It is often speculated that they may also be present in the price cycles of exchange-traded assets. Whether one believes this or not, most traders now acknowledge that the popular use of Fibonacci ratios in […]<\/p>\n","protected":false},"author":1,"featured_media":5380,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-919","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tutorials"],"yoast_head":"\nBeginner\u2019s Guide to Trend-Based Fib Extensions — BTSE Blog<\/title>\n<meta name=\"description\" content=\"Trend-Based Fib Extensions use Fibonacci Ratios observable throughout much of nature to predict future prices.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Beginner\u2019s Guide to Trend-Based Fib Extensions\" \/>\n<meta property=\"og:description\" content=\"Trend-Based Fib Extensions use Fibonacci Ratios observable throughout much of nature to predict future prices.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/\" \/>\n<meta property=\"og:site_name\" content=\"BTSE Blog\" \/>\n<meta property=\"article:published_time\" content=\"2020-08-19T12:53:13+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-03-08T09:11:13+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1080\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"BTSE\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@BTSE_Official\" \/>\n<meta name=\"twitter:site\" content=\"@BTSE_Official\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"BTSE\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Beginner\u2019s Guide to Trend-Based Fib Extensions — BTSE Blog","description":"Trend-Based Fib Extensions use Fibonacci Ratios observable throughout much of nature to predict future prices.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/","og_locale":"en_US","og_type":"article","og_title":"Beginner\u2019s Guide to Trend-Based Fib Extensions","og_description":"Trend-Based Fib Extensions use Fibonacci Ratios observable throughout much of nature to predict future prices.","og_url":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/","og_site_name":"BTSE Blog","article_published_time":"2020-08-19T12:53:13+00:00","article_modified_time":"2023-03-08T09:11:13+00:00","og_image":[{"width":1920,"height":1080,"url":"https:\/\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png","type":"image\/png"}],"author":"BTSE","twitter_card":"summary_large_image","twitter_creator":"@BTSE_Official","twitter_site":"@BTSE_Official","twitter_misc":{"Written by":"BTSE","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#article","isPartOf":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/"},"author":{"name":"BTSE","@id":"https:\/\/www.btse.com\/blog\/#\/schema\/person\/46ad80e1bffe6cf5d79938127822f2ca"},"headline":"Beginner\u2019s Guide to Trend-Based Fib Extensions","datePublished":"2020-08-19T12:53:13+00:00","dateModified":"2023-03-08T09:11:13+00:00","mainEntityOfPage":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/"},"wordCount":414,"publisher":{"@id":"https:\/\/www.btse.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#primaryimage"},"thumbnailUrl":"https:\/\/i0.wp.com\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png?fit=1920%2C1080&quality=75&ssl=1","articleSection":["Tutorials"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/","url":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/","name":"Beginner\u2019s Guide to Trend-Based Fib Extensions — BTSE Blog","isPartOf":{"@id":"https:\/\/www.btse.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#primaryimage"},"image":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#primaryimage"},"thumbnailUrl":"https:\/\/i0.wp.com\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png?fit=1920%2C1080&quality=75&ssl=1","datePublished":"2020-08-19T12:53:13+00:00","dateModified":"2023-03-08T09:11:13+00:00","description":"Trend-Based Fib Extensions use Fibonacci Ratios observable throughout much of nature to predict future prices.","breadcrumb":{"@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#primaryimage","url":"https:\/\/i0.wp.com\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png?fit=1920%2C1080&quality=75&ssl=1","contentUrl":"https:\/\/i0.wp.com\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png?fit=1920%2C1080&quality=75&ssl=1","width":1920,"height":1080,"caption":"Beginner\u2019s Guide to Trend-Based Fib Extensions"},{"@type":"BreadcrumbList","@id":"https:\/\/www.btse.com\/blog\/trend-based-fib-extensions\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.btse.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Beginner\u2019s Guide to Trend-Based Fib Extensions"}]},{"@type":"WebSite","@id":"https:\/\/www.btse.com\/blog\/#website","url":"https:\/\/www.btse.com\/blog\/","name":"BTSE Blog","description":"Navigating the Crypto Frontier - Insights, Analysis, and Strategies","publisher":{"@id":"https:\/\/www.btse.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.btse.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.btse.com\/blog\/#organization","name":"BTSE","url":"https:\/\/www.btse.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.btse.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/btse-logo.png","contentUrl":"https:\/\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/btse-logo.png","width":1007,"height":306,"caption":"BTSE"},"image":{"@id":"https:\/\/www.btse.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/x.com\/BTSE_Official","https:\/\/discord.com\/invite\/btse","https:\/\/www.linkedin.com\/company\/btsecom\/","https:\/\/t.me\/btsecom"]},{"@type":"Person","@id":"https:\/\/www.btse.com\/blog\/#\/schema\/person\/46ad80e1bffe6cf5d79938127822f2ca","name":"BTSE","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/dc01110861deb9c4a6b15c6c841e4457320749d7c005164340fbf8d4eacefc5d?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/dc01110861deb9c4a6b15c6c841e4457320749d7c005164340fbf8d4eacefc5d?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/dc01110861deb9c4a6b15c6c841e4457320749d7c005164340fbf8d4eacefc5d?s=96&d=mm&r=g","caption":"BTSE"},"sameAs":["https:\/\/www.btse.com\/blog"],"url":"https:\/\/www.btse.com\/blog\/author\/btseadmin\/"}]}},"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.btse.com\/blog\/wp-content\/uploads\/2023\/03\/f33f9f_c3f691afbff6430fbb5cf6c3f07b3e35-mv2.png?fit=1920%2C1080&quality=75&ssl=1","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/posts\/919","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/comments?post=919"}],"version-history":[{"count":2,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/posts\/919\/revisions"}],"predecessor-version":[{"id":6100,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/posts\/919\/revisions\/6100"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/media\/5380"}],"wp:attachment":[{"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/media?parent=919"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/categories?post=919"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.btse.com\/blog\/wp-json\/wp\/v2\/tags?post=919"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}