How to Use Fibonacci for Price Analysis: A Professional Trading Guide

WalletManager · 2026-01-05T16:49:58+00:00

Fibonacci is a numerical sequence foundational in nature and finance, aiding traders globally. Originating from ancient Indian mathematics and popularized by Leonardo Fibonacci, it reveals patterns through simple calculations.

WalletManager

2026-01-05 16:49:58

Abstract generation in progress

What is Fibonacci that makes traders around the world trust and use it so much? It might be because it is a ratio hidden in nature, from seashells, flower stems, and it even appears in financial markets. Today, we will explore how this tool works and whether it can truly help improve your trading results.

The Origin of Fibonacci and How to Calculate

A series of numbers with a connection

The Fibonacci sequence comes from a series of numbers: 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144… Each number is the sum of the two preceding numbers.

Importantly, this sequence was not invented by Leonardo da Vinci. Indian mathematicians discovered it as early as 400-200 BC and used it in Indian society. The name “Fibonacci” comes from Leonardo Fibonacci, an Italian mathematician from the Middle Ages.

A simple calculation formula that anyone can understand

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