FX_IDC:EURJPY   Euro / Japanese Yen
To help better understand how to use Fibonacci Spirals when trading, I have decided to dedicate a topic about them. My quest here, is to consistently generate predictions using Fibonacci Spirals . I have only recently started to see a pattern and once I found it, I could somewhat consistently reproduce the same results, that is... visually. I could not however expand the indicator to predict, only to accept the past. What had already happened.

Before we commence, there's one thing you should know about Fibonacci Spirals on TradingView.com (at least at the moment): they don't scale proportionally to the chart. It so seems there is a miscalculation which fire once you begin to scale the chart. For this reason I would suggest not scaling the chart when using this indicator.

I have used Fibonacci Spirals to create V-shapes at the bottoms. Each Spiral is positioned from the lowest low to the past high or future high. From thereon all intersections that have been made in the far future with those spirals have been marked and given colours corresponding the spiral's colours.

I shall elaborate in the near future.
Comment: NOTE: it seems indeed scaling still occurs, when publishing ideas without any extra indicators. I will re-create a screenshot and try to post it here to show the spirals as I have them drawn.
Comment: In this update I will expand on the relationship between drawing fibonacci spirals up or down (top to bottom, or bottom to top). I have made another example to study on.

I have yet to do a quantitative approach on this to filter out coincidental hits; but on this example at least the 'bottom to top' drawings have given tops in return; whereas the 'top to bottom' drawing has given a top AND a bottom.

NOTE: for the sake of sanity I shall not yet question whether or not those tops or bottoms are relevant to make any trades at all; whether or not those trades could have been profitable and if it is a retracement reversal.

Comment: NOTE: more data gathering is required regarding the relationship between drawing top to bottom or bottom to top.
Comment: Another relationship that is to be studied is the influence of drawing the spiral forward or backward. in time. Of course this can't be done during live trading with the 'current leg up or down', yet it can be of value to know what will relatively speaking, bring us dependable results. Again this will be backtested using a quantitative approach.

Here's an example of the difference between drawing the Fibonaci Spirals backward or forward.
At first glance it doesn't seem to matter. But a slight yet distinct difference is shown in my earlier experimenting. At this time I cannot say what that difference means. All that is currently observable within this chart, seems to rather be a fraction of the reason why it is actually observed in the first place.

Comment: Important update: I have reached out to support. They said it's possible to 'lock the scale'.
To do this right click the currency-pair and click 'Lock scale'. This solves any scaling problems you might have with Fibonacci Spirals.

Furthermore: Fibonacci Spirals still don't scale properly when you use Heikin Ashi. That's what I've been using most of the time to cancel out any noise. I did some testing with this and it actually is possible to first go to candlesticks, apply the 'Lock Scale' then switch to Heikin Ashi, and draw the Spirals. This should also fix some issues.

Support stated they'd solve the Fibonacci Spiral issues and get back to me as soon as possible.

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