What is the logic behind golden Mean – Fibonacci Series?

[Bagya]

Fibonacci Series is 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144…. (a number is derived by adding two previous numbers).  Each number in the series is 1.6 times bigger than the previous number.   By dividing one number by the number that follows in this series, the answer always will be 61.8%…..like wise 38.2% if divided by second number in the right, and 23.6% when divided by third number in the right.  These ratios are used to determine the support and resistance levels in stock market.

 

[Ramkumar E]

To understand the Resistance and support level.

[usha muthukumar]

It is used to findout the resistance and support level

[Ganesh]

Golden mean is the ratio between 2 consecutive numbers in the Fibonacci series.

[MOSHIN KHAN]

To find support and resistance level

[Author]

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