Could anyone guide me about the fibonacci system?

<p id="isPasted">Yes, it does work. The Fibonacci sequence is a sequence of mathematical numbers. Some traders believe in using “Fibs” as part of their trading strategy and some think it's nonsense. I am in the “believe” camp.</p><p>Using the Fibonacci sequence is more of an art than a science, just as trading is more of an art than a science. You can use Fib numbers and Fib ratios to find Fibonacci retracements for corrections in price action and Fib extensions/projections to find targets. Fibonacci sequence numbers and ratios derived from Fibonacci sequence numbers are very useful in trading. The “Smart Money” who runs Forex uses Fibs and that is why I use it.</p><p id="isPasted">This is just the beginning of the Fib Sequence. Look on a Forex chart and use the ruler on your platform to measure the distance between significant highs and lows and see if the numbers match any numbers in the Fibonacci sequence.</p><p>You can’t trade using Fibonacci ratios or numbers alone without any other form of confluence such as fundamental analysis to get a directional bias but in concert with other forms of technical and fundamental analysis, Fibonacci is a very powerful tool.</p><p>Fibs work for two reasons Money uses fibs for their targets and Fibs are a self-fulfilling prophecy because many traders position their entries at levels corresponding to major Fib ratios such as .382 and .618 This produces a clustering of trades and a corresponding clustering of stops where Smart Money goes when they are out hunting stops before a move to a new price target.</p>