Fibonacci Numbers/Lines
Definition of 'Fibonacci Numbers/Lines'Leonardo Fibonacci was an Italian mathematician born in the 12th century. He is known to have discovered the "Fibonacci numbers," which are a sequence of numbers where each successive number is the sum of the two previous numbers.e.g. 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, etc. These numbers possess a number of interrelationships, such as the fact that any given number is approximately 1.618 times the preceding number. |
|
Investopedia explains 'Fibonacci Numbers/Lines'Interpretation of the Fibonacci numbers in technical analysis anticipates changes in trends as prices tend to be near lines created by the Fibonacci studies. The four popular Fibonacci studies are arcs, fans, retracements, and time zones. |
Related Definitions
Articles Of Interest
-
High-Tech Fibonacci
Fibonacci developed this system in the Middle Ages. See how it can provide accuracy without sacrificing readability. -
3 Technical Tools To Improve Your Trading
Find out how volume, the Aroon indicator and Fibonacci numbers can improve your profits. -
Make Money With The Fibonacci ABC Pattern
We break down this indicator into simple, easy-to-understand pieces so you can profit. -
Fibonacci And The Golden Ratio
Discover how this amazing ratio, revealed in countless proportions throughout nature, applies to the financial markets. -
Taking The Magic Out Of Fibonacci Numbers
Uncover the history and logic behind this popular trading tool. -
Market Summary for May 24 2013
The major U.S. indices moved lower this week, ahead of the long Memorial Day weekend. After reaching all-time highs last week, many traders attributed the sell-off to a combination of profit ... -
What Type Of Trader Are You?
There are different ways stock traders attempt to profit from market movements. Which of the strategies do you use? -
Strong Volume Gainers, Can It Continue?
Volume is one of those indicators that gets overlooked, likely because it's shown by default on almost every chart, making it a little dull. But volume is what drives markets. Big volume jumps ... -
Market Summary For May 17, 2013
The U.S. stock markets moved sharply higher this week, on track for its fourth straight week of gains, driven by ongoing improvements in economic indicators. -
Parabolic SAR Buy Signals
The Parabolic SAR indicator is flashing "buy" in these four diverse stocks. Not simply relying on one indicator though, I take a look at the overall technical outlook and determine which ones ...
Free Annual Reports