Based on the Fibonacci sequence, this tool applies specific ratios—such as 23.6%, 38.2%, 50%, 61.8%, and 78.6%—to help forecast areas where the price might experience a pullback or ...

The Fibonacci sequence, commonly attributed to medieval Italian mathematician Leonardo Fibonacci (c. 1170-1250), has a rich history spanning multiple civilizations and millennia.

The first five numbers in the Fibonacci sequence are 1, 1, 2, 3, and 5. Each square on the clock represents one of these numbers—the side lengths of each square match these numbers.

Fibonacci retracements are tools to draw support lines, identify resistance levels, and place stop-loss orders. Learn how to use Fibonacci ratios in trading.