What is the logic behind golden Mean – Fibonacci Series?

[harthik]

ration of Fibonacci number divided by previous Fibonacci number golden mean  1618

[Sathish Kumar P T]

Series 0,1,1,2,3,5,8,13,,,,,is called Fibonacci Series = Where next number is the sum of previous two numbers.

Golden Mean is 13/8 = 1.625 , 8/13 = 0.615…. which is close to golden mean of 1.618 or 0.618 seen inconstantly at the higher order of the series.

Golden mean is seen all around in  nature and also in our body proportions. Same analogy can be used in stock market in prediction Resistance and support levels in chart.

[Milanrp]

Golden ratio is observed in a lot of instances naturally. So this ratio is applied to the stock market believing that it also follows the same ratio.

[swaroopa]

Ratio of Fibonacci number is divided by the previous Fibonacci number is 1618

[Rajkumar]

Fibonacci series is each number equals sum of two prior numbers 0,1,1,2,3,5,8,13,21…

Golden ratio is 61.8% that is if you divide a number in Fibonacci series by succeeding number you will get 61.8%

In Share market it is used to forecast the potential reversal of bull/bear trend

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