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Fibonacci

61.8% Retracement

The 'golden retracement' level and the most common target for Wave 2 corrections. Derived from the golden ratio (1/1.618 = 0.618). When price reaches this level, it is often the deepest retracement before the next impulse wave begins.

RELATED TERMS

Fibonacci Retracement
Price levels derived from the Fibonacci sequence where corrective waves are like...
Golden Ratio
The ratio 1.618 (phi), derived from the Fibonacci sequence. It is the mathematic...
Wave 2
The first corrective wave in an impulse sequence. Wave 2 retraces a portion of W...
38.2% RetracementAll TermsAlternation
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