📍 50% Fibonacci Retracement as Support
Although the 50% retracement is not an official Fibonacci ratio, it is one of the most widely used and most respected levels in technical analysis.
Why?
Because markets often retrace half of a strong move before continuing the trend.
✅ What It Means
When the price has rallied and then pulls back, the 50% level of that move often acts as a strong support zone, where buyers step back in.
📘 How It Works
Identify a strong up-move (swing low → swing high).
Apply Fibonacci retracement.
Look at the 50% level.
If price falls to this level and holds, it is considered support.
📊 Why 50% Works as Support
✔ Many institutional traders watch it.
✔ Human psychology — markets often correct halfway.
✔ Big players accumulate around this level.
✔ Works well in trending markets.
🟢 Bullish Scenario: 50% as Support
If price:
Drops to the 50% retracement
Slows down
Forms reversal candles (hammer, bullish engulfing)
Shows rising volume
👉 It indicates buyers defending the zone → uptrend likely to resume.
🎯 Entry, Stop-Loss & Target
Entry: When price bounces from 50% level
Stop-loss: Below the 61.8% or the swing low
Target: Retest of the previous swing high (100%)
If breakout continues, next target can be 1.272 or 1.618 extension.
Although the 50% retracement is not an official Fibonacci ratio, it is one of the most widely used and most respected levels in technical analysis.
Why?
Because markets often retrace half of a strong move before continuing the trend.
✅ What It Means
When the price has rallied and then pulls back, the 50% level of that move often acts as a strong support zone, where buyers step back in.
📘 How It Works
Identify a strong up-move (swing low → swing high).
Apply Fibonacci retracement.
Look at the 50% level.
If price falls to this level and holds, it is considered support.
📊 Why 50% Works as Support
✔ Many institutional traders watch it.
✔ Human psychology — markets often correct halfway.
✔ Big players accumulate around this level.
✔ Works well in trending markets.
🟢 Bullish Scenario: 50% as Support
If price:
Drops to the 50% retracement
Slows down
Forms reversal candles (hammer, bullish engulfing)
Shows rising volume
👉 It indicates buyers defending the zone → uptrend likely to resume.
🎯 Entry, Stop-Loss & Target
Entry: When price bounces from 50% level
Stop-loss: Below the 61.8% or the swing low
Target: Retest of the previous swing high (100%)
If breakout continues, next target can be 1.272 or 1.618 extension.
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.