Fibonacci ratios are remarkable when applied to FX trading. The recent consolidation of EURUSD on its intraday 1- and 4- hour charts display its tendency to follow fibs.
Captured on the 4-hour charts, we can see the following:
- Point C is the 76.4% retracement of A-B
- Point E is the 76.4% retracement of C-D
- Point F is the 76.4% retracement of D-E
- Point G is not an established turning point on the 4-hour chart (although it may be on the 1-hour). It is however at the 61.8% retracement of E-F.
Fibs in motion
