This is a trading item or a component that was created using QuantShare by one of our members.
This item can be downloaded and used by QuantShare Trading Software.
Trading items are of different types. There are data downloaders, trading indicators, trading systems, watchlists, composites/indices...
You can use this item and hundreds of others for free by downloading QuantShare.
Top Reasons Why You Should Use QuantShare:
Works with US and international markets (stock, forex, options, futures, ETF...)
Offers you the tools that will help you become a profitable trader
Allows you to implement any trading ideas
Exchange items and ideas with other QuantShare users
Our support team is very responsive and will answer any of your questions
We will implement any features you suggest
Very low price and much more features than the majority of other trading software
For Free - No Credit Card Required
Fibonacci Trading Indicator - Support and Resistance Lines
The Fibonacci trading indicator is a technical analysis tool that calculates different Fibonacci retracement levels and then tells you whether there is a resistance or support line near the stock or security price (slightly above or slightly below the close price depending on the sensitivity parameter).
It is almost the same indicator as Fibonacci Trading with the Retracement Levels/Ratios; the difference lies in the returned value. While the return values of the other indicator are always positive and each value represents a Fibonacci ratio, the current Fibonacci trading indicator can return negative values; each value still represents a Fibonacci ratio; however a positive value means that the Fibonacci level is currently acting as a resistance and a negative value tells us that the Fibonacci level is acting as a support.
This Fibonacci Support and Resistance indicator has the same parameters as the Fibonacci Trading with the Retracement Levels/Ratios and the returned values represent:
0: No support or resistance line
1: Stock price is near the 0% retracement ratio
2: Stock price is near the resistance line that corresponds to the 38.2% retracement ratio (3 for the 50% ratio and 4 for the 61.8%)
-2: Stock price is near the support line that corresponds to the 38.2% retracement ratio (-3 for the 50% ratio and -4 for the 61.8%)
5: Stock price is near the 100% retracement ratio
Fibonacci Trading Indicator Example:
rule = Fibonacci_RS(100, 1) > 2;
The above trading rule detects whether the stock price is near a 50%, 61.8% or 100% resistance line.
Fibonacci trading indicator returns positive values when the lowest stock price over a specific period occurs before the highest stock price over the same period (The highest and lowest value that are used to calculate Fibonacci retracement levels). It returns negative values when the highest stock price occurs before the lowest stock price.
Trading financial instruments, including foreign exchange on margin, carries a high level of risk and is not suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in financial instruments or foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading and seek advice from an independent financial advisor if you have any doubts.
