How to set a Fibonacci system?

<p id="isPasted">To set up a Fibonacci system, you will need to:</p><ol start="1" style="margin-bottom:0cm;" type="1"><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Choose a charting platform that offers Fibonacci retracement and extension tools.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Identify the two extreme points on the chart that you want to use to create the retracement or extension.&nbsp;These are typically a swing high and a swing low.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Draw the Fibonacci retracement or extension levels on the chart.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Use the Fibonacci levels to identify potential support and resistance levels,&nbsp;as well as entry and exit points for your trades.</li></ol><p>Here is an example of how to set a Fibonacci retracement system:</p><ol start="1" style="margin-bottom:0cm;" type="1"><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Open the charting platform of your choice and select the stock or currency pair that you want to trade.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Identify a swing high and a swing low on the chart.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Select the Fibonacci retracement tool from the charting platform and click on the swing high.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">Drag the cursor down to the swing low and release the mouse button.</li><li style="margin-top:0cm;margin-right:0cm;margin-bottom: 7.5pt;margin-left:0cm;line-height:normal;font-size:15px;font-family:&quot;Calibri&quot;,sans-serif;color:#1F1F1F;background:white;">The Fibonacci retracement levels will automatically be drawn on the chart.</li></ol><p>The most common Fibonacci retracement levels are 23.6%, 38.2%, 50%, 61.8%, and 78.6%. These levels represent the percentage of the previous move that the price has retraced.</p><p>Once you have set up your Fibonacci retracement system, you can use it to identify potential support and resistance levels. For example, if the price retraces to the 38.2% level, this could be a potential support level. If the price retraces to the 61.8% level, this could be a potential resistance level.</p><p>You can also use Fibonacci retracement levels to set entry and exit points for your trades. For example, you could place a buy order at the 38.2% level, with a stop loss below the swing low. You could place a sell order at the 61.8% level, with a stop loss above the swing high.</p>