Where do I place Fibonacci?

LearnApr 30, 2026
Timothy Cahill
Where do I place Fibonacci?

Place Fibonacci by anchoring the 0 line at the swing low and the 1 line at the swing high in an uptrend, reversed for a downtrend.

The effectiveness depends entirely on selecting correct anchor points, so ensure the asset is in a clear, discernible trend first; Fibonacci is designed for trending markets, not horizontal ranges.

Practice on higher timeframe charts before moving to hourly or minute charts.

Treat the resulting 23.6%, 38.2%, 50%, 61.8%, and 78.6% levels as zones with about 1-2% buffer on either side, combined with at least one confirmation signal.

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