ETH — Using Fibonacci for High-Precision TradingUnderstanding Tools, Confluence & Today’s Setup
I’ve been getting a lot of DMs asking what the best indicator is.
The truth? There is no universal “best indicator” because indicators are tools, and every tool serves a different purpose. Trading is like carrying a toolbox: the skill isn’t in having the tools, but in knowing when and how to use them.
Educational Segment: Why Fibonacci Should Be Your Foundation
After years of studying different systems, I’ve come to a very simple conclusion:
👉 Fibonacci tools are the most powerful and reliable in my entire arsenal.
Why?
They help you spot reversal zones with precision
They work across all market conditions
They are rooted in natural ratios that markets consistently gravitate toward
They create predictable targets, retracements, extensions, and even timing when used correctly
Indicators like oscillators etc. are best used as confirmation, not as the primary signal.
If I had to pick one indicator besides Fibonacci, it would absolutely be the VWAP.
Why the Anchored VWAP Is Incredibly Underrated
It shows where true volume-weighted market support + resistance lies
It adapts dynamically
It works extremely well as a dynamic support/resistance line
It is fantastic as a trailing stop-loss tool
It helps identify institutional footprints in price structure
Fibonacci + VWAP is one of the strongest forms of confluence you can build.
ETH Technical Breakdown
Today, ETH attempted a breakout but the move failed, and the rejection was clean.
ETH rejected at the anchored VWAP aligned with Fibonacci reversal zone:
ETH tested the anchored VWAP near $3,090 twice, coinciding with the 1.136–1.272 Fibonacci Reversal Zone.
This confluence acted as a strong resistance, leading to a swift selloff soon after.
Key Confluence Level Below:
My next major downside target lines up with a cluster of confluences:
1.6-1.666 Fibonacci extension
0.5 Fibonacci retracement
Anchored VWAP (green support line)
Liquidity zone (demand area)
0.618 Fibonacci speed fan support
Educational Takeaway → Confluence Is King
If there’s one lesson to internalize:
The more factors that align at the same level or zone, the higher the probability of a successful trade.
This ETH range has provided several high-quality setups for anyone who understands how to read price through Fibonacci.
Final Notes
ETH remains in a well-defined trading range use confluence, stay patient, and let the market come to your level.
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