Fibonacci Expansion

Fibonacci Expansion is largely similar to Fibonacci Retracement and intended for determining the end of the third wave. Unlike Fibonacci Retracement, this instrument is built on not the only one trend line, but on two waves.

 

Plotting Fibonacci Expansion in the chart

 

Select the Fibonacci Expansion option in the Objects menu of the chart toolbar:

new_instr_icons117

When you select this option, the cursor will become finger-shaped: fingershape

 

In order to plot the Fibonacci Expansion levels, left-click on the chart at the beginning of the trend, and drag the cursor to the end of the trend. The third point will appear near the end of the trend allowing you to plot the second wave line. The Fibonacci Expansion lines will be automatically plotted in the chart with the ratio and the corresponding price indicated at each line.

new_instr_icons118

When you left click on the plotted Fibonacci Expansion object, it will become highlighted, i.e. three dots will appear at the edges of the lines. If you hover the cursor over a dot, it will turn into a crosshair allowing you to drag the dot over the chart thus resizing the Fibonacci object:

FiboExp3

You can also drag the plotted Fibonacci Expansion object over the chart by left-clicking on its line and holding the mouse button.

 

Right-clicking on the Fibonacci Expansion opens the standard context menu for manually plotted objects:

FiboChan4

To delete the Fibonacci Expansion object left-click on it once and choose the Remove Selected Objects option on the chart toolbar.

 

Fibonacci Expansion Settings

 

You can customize the view of the Fibonacci Expansion object by using the advanced Settings dialog box, allowing to show/hide and change the view of each line.

 

The Fibonacci Settings dialog box appears as displayed below:

FiboExp4

 

Properties description

 

Id

The unique number of the chart object (non-editable)

 

 

Extension

This drop-down box allows you to select the lines’ extension:

-        limited

-        extended

-        extended right

-        extended left.

This setting is applied to all the lines at the same time. By default the ‘extended right’ option is selected

 

Show labels

When this option is enabled, labels appear at the end of each line (the rate on the left and the ratio on the right). By default it is enabled.

 

Fibo Line

-This checkbox shows/hides the Fibo Lines (designating the waves). When the checkbox is enabled, the corresponding lines will be displayed in the chart.
-Color - Left click on the color sample to select the line color
-Width - The width of the line. Use the drop-down box to select one of the three available options: 1 pixel, 2 pixels or 3 pixels.
-Style - The style of the line. The drop-down box includes three options: solid, dashed and dotted. Note: If the selected width is 2 pixels or 3 pixels, the Style drop-down box will be unavailable with the solid line preselected.

 

The Levels section contains the individual settings for each line:

▪        The checkboxes in the very left column are used to show/hide the individual levels. When the checkbox is enabled, the corresponding line will be displayed in the chart. By default, only three lines are enabled (as displayed above)

▪        The edit-boxes next to the checkboxes are used to change the percentage levels for each line. The default values of the levels are:

-0%
-23.6%
-38.2%
-50%
-61.8%
-76.4%
-86%
-100%
-118%
-127%
-161.8%
-261.8%

▪        Color - Left click on the color sample to select the line color

▪        Width - The width of the line. Use the drop-down box to select one of the three available options: 1 pixel, 2 pixels or 3 pixels.

▪        Style - The style of the line. The drop-down box includes three options: solid, dashed and dotted. Note: If the selected width is 2 pixels or 3 pixels, the Style drop-down box will be unavailable with the solid line preselected.

 

Note: The Percentage edit box, Color button, Width and Style drop-down boxes are available only for enabled lines.

 

The ‘Save level settings as default’ button saves the settings of all the levels, so that they will be applied to all the Fibonacci Expansion created thereafter.

 

After you’ve made all the necessary changes to the Fibonacci object, click Apply to view the changes in the chart; click OK to confirm the changes and close the dialog; click Cancel to discard the changes and close the dialog.

 

 

The Fibonacci Settings dialog box can be accessed in three ways:

-Click the Object Settings button on the chart toolbar, when a Fibonacci Expansion object is selected:
-Right-click on a Fibonacci object, and then click Settings.
-Double-click on the Fibonacci Expansion plotted in the chart.