Fibonacci Retracement

Learn to use Fibonacci Retracement on AUD/USD, Forex, Crypto, & Stocks. Identify reversal points and confluences on 30-minute charts for trend continuation.

Published · Updated · Methodology: Technical Indicators

Part of: Fibonacci Trading

  • Methodology: Technical Indicators
  • Content type: educational
  • Timeframes: 30 minutes
  • Markets: AUD/USD, Forex, Cryptocurrencies (Bitcoin), Commodities (Gold), Stocks (Amazon)

Indicators used

  • Fibonacci Retracement

Source video

Decoded from: Análisis Técnico 👨‍🏫[Fibonacci]👨‍🏫 con Tradingview by Traders Business School — watch the original

Key timestamps:

  • 0:09 - Introduction to Fibonacci
  • 0:20 - Identifying a trend for Fibonacci
  • 0:30 - How to draw Fibonacci from 0 to 100
  • 1:00 - Identifying the first retracement
  • 1:30 - Using a second Fibonacci for confluence
  • 2:00 - Identifying confluence areas (161 and 261)
  • 2:30 - Clearing the chart for analysis
  • 2:45 - Entry and target based on Fibonacci
  • 3:15 - Exit strategy based on price action
  • 3:45 - Fibonacci for bullish trends
  • 3:55 - Recommended timeframe for Fibonacci

Strategy overview

A Fibonacci retracement divides a completed move into proportional levels so a trader can price how deep a pullback has gone before the trend resumes. What separates this walkthrough from most Fibonacci lessons is that it does not stop after one grid: having drawn the first measurement from 0 to 100 and located the initial retracement, it draws a *second* Fibonacci and treats the places where the two measurements land on top of each other as the areas worth watching.

That shifts the unit of evidence. In a single-grid approach, a level is significant because the tool says so; here, a zone earns attention only when two independently drawn measurements agree on it — with the 161 and 261 readings called out as the confluence points, which sit beyond the retracement range and so contribute projection rather than pullback depth. The interesting question this raises, and one a walkthrough of this length does not settle, is what to do when the two grids disagree: nothing in the chapter list arbitrates between a confluence that forms and one that never materializes.

The source is a Spanish-language TradingView tutorial from Traders Business School, and its chapter markers run from 0:09 to roughly 2:00 — six steps inside about two minutes, which places it firmly in the drawing-mechanics category rather than the complete-system category. It is a demonstration of how to construct the confluence on a 30-minute chart, not a rule set with entries, stops and targets attached, and this page catalogs it as such.

Topics

fibonacci retracement · trading strategy · pine script · tradingview strategy · forex strategy · aud/usd strategy · crypto trading strategy · bitcoin trading · gold trading strategy · smc strategy · price action · swing trading · 30 minute strategy · technical indicators · fibonacci trading strategy

Frequently asked questions

What is a Fibonacci retracement in trading?

It is a tool that divides a completed price move into proportional levels, giving a trader reference points for how deep a pullback has travelled before the prior direction potentially resumes.

What does drawing a second Fibonacci add?

Drawing a second measurement over a different reference move lets a trader see where the two grids overlap. Areas where separate measurements point to the same price are described as confluence — the idea being that agreement between two independent readings is more meaningful than any single level.

What are the 161 and 261 Fibonacci levels?

These sit beyond the 0–100 retracement range and are extension or projection readings rather than pullback depths. The source video names them as the levels where it looks for confluence between its two grids.

Is a two-minute tutorial enough to trade Fibonacci confluence?

A short walkthrough like this one teaches the construction — how to place the grids and read where they overlap — but leaves out confirmation, invalidation and risk placement. Treat it as the drawing lesson and test any rules you build on top of it on historical data before committing capital.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

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