Fibonacci Extension & Retracement Ratios:
• Wave 2 – Retracement
◦ 50%, 61.8%, 65%, 78.6%, or 88.6% of wave 1
• Wave 3 – Extension
◦ 161.8%, 200%, 261.8%, or 323.6% of wave 1
• Wave 4 – Retracement
◦ 14.6%, 23.6%, or 38.2%, 40% of wave 3
◦ Ideally it should not exceed more than 50%
▪ If wave 4 does exceed 50% of wave 3, consider a different count, but do
not...
