The indicator is based on Fibo levels.
The Indicator's Objective
- Calculation of the first market movement (from levels 0 to 100).
- Displaying possible price movement from 100 and higher to Profit Level , as well as in the opposite direction to Correction level and Revers level depending on the direction.
The indicator is not redrawn!
All indicator levels can be configured by users:
- CorrectLvl - correction level. When reached, level 100 is drawn (the market has performed its first movement). The recommended value is 0.055.
- Profitlvl - auxiliary level of exiting the market with profit.
- ReversLvl - the level, from which trading in that Fibo direction is stopped. The recommended value is 0.5.
- RestrictLvl - auxiliary level for sorting out the market's overbought/oversold states.
- pBand configures sensitivity of the Fibo grid calculation (in bars). The recommended value is 13.
The Sample Strategy
- Buy signal appears when level 100 is above level 0. A pending order can be placed at any level. Take profit is set to ProfitLvl level. Stop loss is set to ReversLvl level.
- If the order is not activated, while the price has reached ReversLvl, the pending order is to be deleted.
- Exit the market after the objective is achieved.
Alternative Usage
If you set a value for Correction parameter greater than 0.5 and 1 or greater for pBand parameter, then the indicator will calculate extremums.
