Indictors day 9

Indicators are secondary tools with the predefined analysis and set of algorithms, that can be applied on the trend to get the indication of price movement. It can be used for trending and Non trending zones. They are formed by purely numbers with out taking into account of any data which are basically required for fundamental/ technical analysis, hence technical indicators can only be used as a secondary tool along with the primary tools of technical analysis.Fibonacci series is the sequence of numbers in which each number is the sum of the previous two numbers in the sequence. The sequence is as follows, 1,1,2,3,5,8,13,21,34,55,89,144,233,…The golden mean is the ratio of two consecutive numbers(ex: 233/144) i.e, 1.618 which same for all the ratios in the sequence.FIBONACCI RETRACEMENT is based on Fibonacci ratios namely 61.8%, 38.2%, 23.6% (which are arrived by his series 0 1 1 2 3 5 8 13 21 34 55 89 144..up to infinity. First draw the horizontal lines regarding the support and resistance level. If the price moves upward and crosses above 23.6% then it is the SUPPORT and the next RESISTANCE is at 38.2% LEVEL. If the price still moves UP and crosses ABOVE 38.2% level then it is the SUPPORT and the next RESISTANCE IS at 61.8% and vice versa.