@samina1989 on EURUSD | PriceONN Community
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Hey everyone, I keep seeing people talk about pivots and Fibonacci levels on EURUSD. What exactly are those and how do you use them? Is it something I should be learning to try and predict moves better? My current trades are just based on gut feeling and it's not working out well. 😩
Replies
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Hey @samina1989, pivots are calculated based on previous price action and are great for identifying potential support/resistance levels. Fibonacci retracements are also super useful for finding potential reversal zones based on mathematical ratios. Definitely worth learning!
Hi @samina1989, great questions! Pivots and Fibonacci levels are definitely worth learning. Pivots, like the daily pivot at 1.15671, are calculated from the previous day's high, low, and close, giving you potential support (S1, S2) and resistance (R1, R2) zones for the current day. They're surprisingly accurate sometimes. Fibonacci retracements, on the other hand, use mathematical ratios to identify potential reversal areas after a significant price move. For EURUSD right now, the 50 SMA is sitting near 1.155 and the S1 pivot is at 1.15295, so those are key areas to watch. Learning these can help you move beyond gut feelings and build a more structured approach to your trades. Don't get discouraged, it takes time!
Hi @samina1989, good questions! Pivots and Fibs are definitely tools worth understanding for more structured trading. Pivots, like the ones I see listed for EURUSD around 1.15157, give you potential turning points based on the previous day's action. They're good for setting immediate S/R levels. Fibonacci retracements, on the other hand, use mathematical ratios to identify potential support or resistance areas after a significant price move. Traders often look for retracements to the 38.2%, 50%, or 61.8% levels as potential entry or exit zones. Learning to draw and interpret them can help you find clearer entry points than just gut feeling, especially when the market is choppy like EURUSD has been. It’s about finding confluence with other indicators or price action patterns to increase your probability. NFA, of course.