Business and Fibonacci Numbers

Sometimes products are marked, but not always, ie at some point the correct price and this is due to several factors. If we speak of speculative investors, a good level of profits they are satisfied and decide to exit the market liquidates the utility obtained. If these movements are important cause the price correction, regardless of whether the trend is bullish or bearish. Another factor is the psychological element, which provides a good sense or common sense. When a price or value of any currency traded at levels beyond the common, many investors prefer to exit the market and see what happens and not taking any chances. Whatever the cause, the prices do not move in a straight line, ie we can observe trends within trends.

A secondary trend can co-exist within a primary. The primary trend is bullish suppose. Within it we find bearish movements or zig-zag that generate what is called secondary trends. Within these trends many operators make their investments in the intra-day and are excellent opportunities profit and a widely used tool is the application of Fibonacci ratios, which often determine support and resistance. Fibonacci lines are very similar to the lines of speed. To trace them only have to select two significant points of the group, for example, from the beginning of the hike until the first stop, with a small beginning of fall. From this second point we draw the projection to the height of the first period and divide this distance by two special lines: according to the proportions in line with the line 62% and 38%. Another application is in time zones, which consist of vertical lines during periods corresponding to the series. That is, vertical lines are placed in periods of 5, 8, 13, 21, 34, 55, 89, etc. This line is to identify changes in market trends. Fibonacci arcs with the time variable is incorporated.

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