FIB RETRACEMENT TOOL(INTRADAY)

I am sharing my personal experience here.This tool i am using from last two months & i am
still using This is not my content. I learned it from Mr.sachin Bhatia.All credits goes to him.I
found it really helpful for intraday so i am sharing this experience for FTU family.

I will share how to use fib in different different market conditions.mostly i am using it
on index.it can be applicable on stock too.If any misguidance seen in this pdf then please
correct me.

How to apply?
 Apply fib on first 15min candle.
 Mark 1.382 & 1.618 on downside as well as upside.
 Use it on 5min timeframe for reversal or breakout/breakdown signs.
 You can use ema 48 high & ema 48 low.this channel work best.

Rules
 It is purely for intraday.
 You must know the direction of market & must know dyanamic & static S/R.
 this is not buy sell indicator or stratergy.You can use this for exit or for entry
purpose.this will help in identifying reversal or breakout.
 If market is range bound you can save yourself from fakeouts.in range bound
market trend will remain inside 1.382/1.618 level.
 If any stock or index breaking 1.618 level & sustaining above for uptrending
market and below for downtrending market then that trend ll be strong for
intraday.
 If stock or index breaking both the levels(1.382/1.618) in a single candles.then
considerit as strong breakout but in same case sustainance is must.
 Sustainance can be check on 5 min timeframe 2-4 candles.
 I don’t know which stratergy you are using for entry but for exit or safe booking
you can use this tool.also for re-entry in case of breaking & testing 1.618 level.
 For example- you are using opening range breakout for entry .you can book
profit at 1.382/1.618 level if any reversal sign found.In case of strong trend you
can book half and trail half.
 After breaking 1.618 you can go for 2.618 as a target or 50% between 1.618 &
2.618
Now i will show some example of using fib in different market conditions.

1.Range Bound Market.

On this day it was purely range bound & premium eating day.Market not break 1.618 &
sustain even for 5min.
On same day in banknifty got reversal from 1.382 level thrice.But not even gave good
move on upside.it was in range.

Date – 8/02/2021
Here see movement at 1.382 level. From 10.30am to 12.00pm its was trying to break that
level.As i said if both the levels breaking in single candle then it is strong breakout.see
candle at 1.55 but it not able to sustain and come inside.

Best entry in such cases is breakout & retest entry.

Date – 25/02/2021
2.Gap Up & Gap Down (Unfilled Gap)
There are the cases where market open gap up or gap down and then it will act like a it is
going to fill the gap but it take reversal from half way.So in this case we get trap.If we use
fib retracement tool then we might save ourself from this trap.

Date -16/02/2020

on above chart it opens gap up and try to fill a gap but not sustain below 1.618 and comes
back inside a range.

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Date- 05/10/2020
 Here we got perfect reversal on both the sides.Again market was trying to filled
the gap but it reversed from 1.382 level.

3.Gap Up & Gap Down (filled Gap)

Date- 8/01/2020

In this case market opens gap down filled the gap on upside and it reversed from 1.618
level after filling gap.throughout the day it remain in a range.

Date – 21/01/2020
here perfect example of reversal after filling gap & remain in a range for intraday.
4.Trending Day
On trending day as i mentioned in rules after breaking 1.618 it is strong intraday trend.On
a trending day after breaking 1.618 you can further go for target of 2.618 & 3.618

After breaking 2.618 if you find trend is strong.you can calculate price difference between
2.618 & 3.618 & divide it by two whatever ans will come after dividing you can book full
profit at that point.(Mid-Point)

For example – In a downtrend price is 12400 at 2.618 level & 12300 at 3.618 level.hence
price difference between 2.618 & 3.618 is 100rs so 100/2 = 50. You can set target of 50
points after breaking 2.618 level where market price is 12400. Hence 12400-50 =
12350.you can book full profit at 12350 if u holding it from morning.

Date – 20/01/2020

In above scenario here its one side clear trend.after breaking 1.618 it reaches to 2.618 and
ever broke 2.618. after breaking 2.618 it reaches to midpoint

Price at 2.618(12261) & at 3.618(12197)

12261-12197 = 64

64/2 = 32

Hence we will get midpoint of 2.618&3.618 is

12261-32 = 12229

At 12229 price is closed at the end of the day.

Can

In this scenario marker went upside and reversed from 1.382 and broke futher levels on
downside.

If you ask me about my approach while trade.i will trade after breaking 1.618 level.In
range bound market it is not possible.so if 1.618 not break i will not trade.this rule i want
to follow.

But sometimes i messed up due to emotional factors.I could not control and take wrong
trades.

You can try this on stock too.i tried it but very rare.Share your experience.

Thank You